This Order may be cited as the Friendly and Industrial and Provident Societies Act 1968 (Audit Exemption) (Amendment) Order 2006 and comes into force on 6th April 2006.
Specified date: 6 April 2006: see above.
(1) Section 4A of the Friendly and Industrial and Provident Societies Act 1968 (power of societies to disapply section 4) is amended as follows.
(2) In subsection (1)(a), for “£1,400,000” substitute “£2,800,000”.
(3) In subsection (1)(b), for “£350,000” substitute “£5,600,000”.
Specified date: 6 April 2006: see art 1.
Article 2 has effect in relation to any year of account ending two months or more after the date on which this Order comes into force.
Specified date: 6 April 2006: see art 1.
Signatory text
Gillian Merron
Tom Watson
Two of the Lords Commissioners of Her Majesty's Treasury
7th February 2006
This Order amends the Friendly and Industrial and Provident Societies Act 1968 (c 55) in respect of the conditions which must be satisfied in order for a society to be able to disapply section 4 of that Act. Section 4 imposes a duty on a society to appoint a qualified auditor to audit its accounts.
The Order is made under section 2 of the Industrial and Provident Societies Act 2002 so as to make these conditions consistent with the relevant company law conditions. The conditions for companies were altered by SI 2004/16.
Article 2 of the Order provides that, for a society to be able to disapply section 4, its assets must not exceed £2,800,000 (instead of £1,400,000) and its turnover must not exceed £5,600,000 (instead of £350,000). Article 3 provides for the amendments to have effect in relation to any year of account ending two months or more after the coming into force of this Order.
A Regulatory Impact Assessment of this Order is available from the General Insurance, Mutuals and Inclusion Team, HM Treasury, 1 Horse Guards Road, London, SW1A 2HQ and at www.hm-treasury.gov.uk. Copies have been placed in the libraries of both Houses of Parliament.
