The Building Societies (Provision of Services) Order 1987

Variation of supplementary provisions

4.—(1) This Article varies Part IV of Schedule 8 to the Act as follows.

(2) After paragraph 4, there shall be inserted the following paragraphs —

“Provision of credit by connected bodies

4A.— (1) For the purposes of paragraph 7(b) of Part III of this Schedule, a body corporate is connected with a person arranging for credit and connected services to be provided if and only if —

(a) one is a building society and the other is a subsidiary or relevant associated body of that society; or

(b) both are subsidiaries of the same building society.

(2) For the purposes of sub-paragraph (1) above an associated body of a building society which is not a corresponding European body as referred to in section 18(2)(b) of this Act is a relevant associated body of that society.

Subsidiaries providing estate agency services

4B.   For the purpose of determining whether the condition in paragraph 12(d) of Part III of this Schedule is fulfilled as regards a subsidiary of a building society, the continuation, during the first fifteen months following the date on which an undertaking became or the business of an undertaking was transferred to a subsidiary of the society, of any activity carried on as part of the business of the undertaking immediately before that date shall be disregarded.”.

(3) In paragraph 5 (sanctions for breach of restrictions), in place of “acts as agent” there shall be substituted “performs any service”.