Explanatory note

This Order increases, in three stages, the percentage limit on commercial assets in classes 2 and 3 which a building society may hold. Commercial assets means, in relation to building societies, assets classified as class 1, 2 or 3. Class 1 assets are advances secured on residential property, class 2 assets are generally advances secured on other land, and class 3 assets generally comprise loans, residential land and interests in bodies corporate.