Explanatory note

These Rules amend the Court Funds Rules 2011 (S.I. 2011/1734) (“the 2011 Rules”). The 2011 Rules govern the administration and management of funds in court by the Accountant General. The primary purpose of these Rules is to provide more detail on differences in treatment between the accounts and investments of sterling deposits and foreign currency deposits.

Rule 3 amends rule 11 of the 2011 Rules to insert new rules 11(A1) and 11(5), to make clear which rules apply to sterling and which to foreign currency. It inserts rules 11(6) and 11(7) to make clear that foreign currency will be held in an easily accessible account of that currency unless and until a payment schedule or directions are received to the contrary. Rules 11(6)(a) and (b) are not new and have moved from previous rule 16(1)(a) and (b), with some minor language changes for readability.

Rule 4 amends rule 13 of the 2011 Rules to insert new rules 13(3B) and 13(6) to make clear which rules apply to sterling and which to foreign currency. Previous rule 13(5) is omitted and inserted as rule 13(3A) to make clear it applies to both sterling and foreign currency. Rule 13(3C) is inserted to make clear that interest only automatically accrues on a daily basis for deposits in sterling. Rule 13(7) and (8) are inserted to explain how interest is accrued and credited for foreign currency deposits. Rules 13(9) and (10) are inserted to provide detail on the payment of charges and dividends for foreign currency. These are not new rules and were previously rules 16(3) and (4).

Rules 5 amends rule 14 of the 2011 Rules to make clear that it only applies to sterling deposits.

Rule 6 omits the entirety of rule 16 of the 2011 Rules, although as set out above, some of the rules have been retained and inserted elsewhere.

Rule 7 amends rule 27 of the 2011 Rules to remove the rule that requires the provision of a written request from an executor of the deceased’s estate when the Accountant General is making certain payments out under Part 37.3 of the Civil Procedure Rules.

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sectors is foreseen.