There has been published on the legislation.gov.uk website the Financial Services and Markets Act 2000 (Miscellaneous Provisions) (No.2) Order 2015 (the Order) together with an explanatory memorandum.
The Order makes amendments to the:
- Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 (RAO). Entering into a credit agreement as lender and exercising, or having the right to exercise, the lender’s rights and duties under a credit agreement are specified kinds of activity unless the agreement is an exempt agreement under articles 60C to 60H of the RAO. Article 2(a) of the Order amends article 60F(2) of the RAO to increase from four to twelve the maximum number of repayments which may be due from a borrower under a credit agreement which is to be an exempt agreement under that article. Article 2(b) of the Order amends article 60G(5) to vary one of the conditions that must be met by a credit agreement which is to be an exempt agreement under article 60G(4). An agreement may be exempt under article 60G(4) if (among other things) the borrower is an employee of the lender. The effect of the amendment is that an agreement may be exempt if the borrower is employed by an undertaking in the same group as the lender;
- Financial Services and Markets Act 2000 (Exemption) Order 2001 by correcting a minor error; and
- Financial Services and Markets Act 2000 (Financial Promotion) Order 2005. The amendment extends the exemption for a communication accompanied by a directors’ report to a communication accompanied by a report prepared and approved under sections 414A and 414D of the Companies Act 2006.
The Order will enter into force on 18 March 2015.
View The Financial Services and Markets Act 2000 (Miscellaneous Provisions) (No. 2) Order 2015, 25 February 2015