Explanatory note

This Order provides that business premises held by a building society, in circumstances where less than 30 per cent of the area of the premises is occupied for business purposes by the society or a subsidiary or other associated body of the society, are treated as held under section 17 of the Building Societies Act 1986 and are thus classified among class 3 assets unless it is certified by a valuer that the value of that area is not less than 30 per cent of the value of the entirety of the premises. By virtue of section 20 of that Act class 3 assets may not exceed 5 per cent of the total commercial assets of a society.