The Financial Services Act 1986 (Restriction of Scope of Act and Meaning of Collective Investment Scheme)(No. 2) Order 1990

Made24th July 1990

Laid before Parliament24th July 1990

Coming into force25th July 1990

The Secretary of State, in exercise of the powers conferred on him by sections 2 and 75(9) of the Financial Services Act 19861 and of all other powers enabling him in that behalf, hereby makes the following Order:

Citation, commencement and interpretation1

1

This Order may be cited as the Financial Services Act 1986 (Restriction of Scope of Act and Meaning of Collective Investment Scheme) (No. 2) Order 1990 and shall come into force on 25th July 1990.

2

In this Order, “the Act” means the Financial Services Act 1986.

Employee share schemes in the electricity industry2

In paragraph 35 of Schedule 1 to the Act2 after paragraph (e) there shall be added the following paragraph—

f
arrangements where—
i
each of the participants is a bona fide employee or former employee (or the wife, husband, widow, widower, or child (including, in Northern Ireland, adopted child) or step-child under the age of eighteen of such an employee or former employee) of any of the following bodies corporate, that is to say, The National Grid Company plc, Electricity Association Services Limited or any other body corporate in the same group as either of them and which is operated by any of those bodies corporate; and
ii
the property to which the arrangements relate consists of shares or debentures (as defined in paragraph 20(4) above) in or of a body corporate which is an electricity successor company for the purposes of Part II of the Electricity Act 19893 or a body corporate which would be regarded as connected with such an electricity successor company for the purposes of paragraph 20 above.
and for the purposes of this paragraph references to former employees shall have the same meaning as in the Financial Services Act 1986 (Electricity Industry Exemptions) Order 19904.

Sale of goods and supply of services3

Paragraph 19 of Schedule 1 to the Act5 shall be amended by the substitution, in paragraph 19(3)(a), of the figure “5” for the figure “6”.

Revocation4

Article 4 of the Financial Services Act 1986 (Restriction of Scope of Act and Meaning of Collective Investment Scheme) Order 19906 is hereby revoked.

John RedwoodParliamentary Under Secretary of State,Department of Trade and Industry24th July 1990

(This note is not part of the Order)

This Order excludes the employee share schemes described in article 2 of the Order from the scope of the provisions of the Financial Services Act 1986 relating to collective investment schemes.

Article 3 of the Order corrects an error contained in article 4 of the Financial Services Act 1986 (Restriction of Scope of Act and Meaning of Collective Investment Scheme) Order 1990. Article 4 is consequential upon the provisions of article 3.