Miscellaneous amendments to the principal regulations
2.—(1) The principal regulations are amended as follows.
(2) In regulation 2(1) (interpretation), for “section 69” wherever occurring, substitute “section 69E”.
(3) In regulation 7 (group accounts – supplementary provisions)—
(a)in paragraph (3), for “subsections (2) and (3) of section 70” substitute “subsection (2) of section 69F”;
(b)in paragraph (7), for “subsections (2) and (3) of section 70” substitute “subsection (2) of section 69F”.
(4) After regulation 10 (accounting principles and rules), insert the following—
“Accounts to have regard to substance of a transaction
10A. The management committee of a society shall, in determining how amounts are presented within items in the income and expenditure account and balance sheet, have regard to the substance of the reported transaction or arrangement, in accordance with generally accepted accounting principles or practice.”.
(5) In Schedule 2, in the Balance Sheet Format under the heading Liabilities, for “Provisions for other risks and charges” substitute “Provisions for liabilities”.
(6) In paragraph 19(1)(b) of Schedule 4 (reserves and provisions) and in paragraph 19(1)(c) of Schedule 4 (reserves and provision) for “provisions for liabilities and charges” substitute “provisions for liabilities”.
(7) In sub-paragraph 4(b) of Schedule 6 omit “and losses” and “ or are likely to arise”.