PART V MISCELLANEOUS RELIEFS

CHAPTER V MISCELLANEOUS

F1Dormant assets

Annotations:
Amendments (Textual)
F1

S. 159A and cross-heading inserted (retrospective to 6.6.2022) by Finance (No. 2) Act 2023 (c. 30), s. 348(2)(4)

159ATreatment of dormant assets

1

This section applies where there is a transfer in respect of a dormant asset.

2

There is a transfer in respect of a dormant asset where an amount is transferred by an institution in respect of an asset—

a

to an authorised reclaim fund, with the result that section 1 of the 2008 Act or section 2, 5, 8, 12 or 14 of the 2022 Act applies in relation to the asset, or

b

to an authorised reclaim fund and one or more charities, with the result that section 2 of the 2008 Act applies in relation to the asset.

3

For the purposes of this Act, rights which a person (“P”) acquires under Part 1 of the 2008 Act or Part 1 or sections 22 to 25 of the 2022 Act (as the case may be) after the transfer are to be treated as the same asset as the original rights, acquired as the original rights were acquired and having the same characteristics as those rights.

4

For the purposes of this section—

  • “the 2008 Act” means the Dormant Bank and Building Society Accounts Act 2008;

  • “the 2022 Act” means the Dormant Assets Act 2022;

  • “asset” means an asset within the scope of the dormant assets scheme (see section 1(6) of the 2022 Act);

  • “authorised reclaim fund” has the same meaning as in the Dormant Assets Acts 2008 to 2022;

  • “the original rights” are—

    1. a

      in a case where—

      1. i

        section 8 of the 2022 Act (investment assets) applies in relation to the asset and there has been a conversion as mentioned in section 9(3)(a) of that Act in connection with the transfer, or

      2. ii

        section 14 of the 2022 Act (securities assets) applies in relation to the asset and there has been a conversion as mentioned in section 15(1)(a) of that Act in connection with the transfer,

      P’s rights against the institution immediately before that conversion;

    2. b

      in any other case, P’s rights against the institution immediately before the transfer.