Statutory Instruments

2016 No. 571

Companies

The Companies (Bodies Concerned with Auditing Standards etc.) (Exemption from Liability) Regulations 2016

Made

10th May 2016

Laid before Parliament

10th May 2016

Coming into force

1st June 2016

The Secretary of State, in exercise of the powers conferred by section 18A(1) and (3) of the Companies (Audit, Investigations and Community Enterprise) Act 2004 M1, makes the following Regulations:

Marginal Citations

M12004 c. 27. Section 18A was inserted by section 38 of the Small Business, Enterprise and Employment Act 2015 (c. 26); see section 18A(5) for the definition of “specified”.

Citation and commencementU.K.

1.  These Regulations may be cited as the Companies (Bodies Concerned with Auditing Standards etc.) (Exemption from Liability) Regulations 2016, and come into force on 1st June 2016.

Exemption from liabilityU.K.

2.—(1) The exemption from liability in subsections (3) and (4) of section 18A (power to confer exemption from liability) of the Act applies to—

(a)the Financial Reporting Council Limited, F1...

F1(b). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

in accordance with [F2paragraph (2)] .

(2) The section 16(2) activities M2 which are specified under section 18A(3) of the Act in relation to the exemption from liability provided for under paragraph (1)(a) are the activities within [F3subsection 2(a) to (t) of section 16] (grants to bodies concerned with accounting standards etc) of the Act.

F4(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) In this regulation “the Act” means the Companies (Audit, Investigations and Community Enterprise) Act 2004.

Neville-Rolfe

Parliamentary Under Secretary of State for Business, Innovation and Skills

Department for Business, Innovation and Skills

Explanatory Note

(This note is not part of the Regulations)

These Regulations grant, to the Financial Reporting Council Limited and the Conduct Committee of that body, exemption from liability in damages in respect of certain activities that they carry out (or purport to carry out) for the purposes of, or in connection with, setting and monitoring the issue of, and compliance with, auditing standards for companies.

An impact assessment has not been produced for this instrument as it has no impact on business, charities, voluntary bodies or the public sector.

An explanatory memorandum is available alongside the instrument on www.legislation.gov.uk.