{
  "url": "https://openlegislation.uk/building-societies-act-1986-amendment-act-2024/section-1",
  "json_url": "https://openlegislation.uk/building-societies-act-1986-amendment-act-2024/section-1.json",
  "legislation": "ukpga/2024/18",
  "legislation_title": "Building Societies Act 1986 (Amendment) Act 2024",
  "legislation_url": "https://openlegislation.uk/building-societies-act-1986-amendment-act-2024",
  "path": "section/1",
  "kind": "section",
  "number": "1",
  "heading": "The funding limit: funds to be disregarded",
  "text": "(1) Section 7 of the Building Societies Act 1986 (the funding limit) is amended as follows.\n(2) In subsection (3) (disregarded funds), after paragraph (b) insert—\n“(c) amounts drawn by the society from a specified liquidity insurance facility provided by the Bank of England;\n(d) amounts represented by specified debt instruments issued by the society with a view to maintaining the minimum requirement for own funds and eligible liabilities;\n(e) sums received by the society under a sale and repurchase agreement entered into by the society with a view to complying with a specified PRA rule.”\n(3) After subsection (9) insert—\n“(9A) In subsections (3) and (9B)—\n“liquidity insurance facility” means a facility provided by the Bank of England enabling a building society to borrow cash or other relatively liquid assets in exchange for collateral (and “relatively liquid assets” means assets which are more liquid than the collateral provided);\n“the minimum requirement for own funds and eligible liabilities” means the minimum requirement set by the Bank of England in a direction under section 3A(4B)(a) of the Banking Act 2009;\n“PRA rule” means a rule made by the PRA under the Financial Services and Markets Act 2000;\n“specified” means specified, or of a description specified, in regulations under subsection (9B).\n(9B) The Treasury may by regulations made by statutory instrument specify, or specify descriptions of—\n(a) liquidity insurance facilities, for the purposes of subsection (3)(c);\n(b) debt instruments, for the purposes of subsection (3)(d);\n(c) PRA rules, for the purposes of subsection (3)(e).\n(9C) Regulations under subsection (9B) may make provision by reference to a document or rule as it has effect from time to time.\n(9D) A statutory instrument containing regulations under subsection (9B) may not be made unless a draft of the instrument has been laid before, and approved by a resolution of, each House of Parliament.”",
  "extent": "E+W+S+N.I.",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "I",
      "label": "I1",
      "text": "S. 1 in force at 24.7.2024, see s. 4(2)"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/2024/18/section/1",
    "retrieved_at": "2026-10-29T08:48:13.782463+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}