Amendment of 1986 Order
3. The 1986 Order shall be amended as follows —
(a)in article 2 (interpretation), in the definition of “participant”, the words “(other than a guarantor)” shall be inserted after the word “contract”;
(b)in article 3, paragraph (3) (which limits participants) shall be replaced by the following paragraph —
“(3) No prescribed contract may be effected by a society save where the obligations of the participant thereunder fall to be performed by —
(a)a person some of whose liabilities societies, or societies of a particular description, are empowered for the time being, under section 21 (liquid assets) of the Building Societies Act 1986, to hold as assets of an authorised character, or
(b)a person performance of whose obligations under the contract is guaranteed by a person who comes within subparagraph (a) above.”.