Paragraph 11 Joining of a participant as a member of another participant

(1)

Sub-paragraphs (2) to (4) apply where the following change occurs—

(a)

a participant (“E”) becomes a member of a group (“F”); and

(b)

F is a participant.

(2)

In respect of the change—

(a)

E and F must notify the administrator of the change and when it occurred; and

(b)

in the notification by F, F must inform the administrator whether or not F requests that E continues as a separate participant.

(3)

Where—

(a)

F requests that E continues as a separate participant; and

(b)

the administrator agrees and so notifies E and F,

E and F continue as separate participants.

(4)

Where E and F do not continue as separate participants—

(a)

E is a significant group undertaking as a member of F for the phase and as if E was a member of F for the whole of the year in which the change occurs;

(b)

subject to the administrator being satisfied that E and F are complying with this Order, the administrator must cancel the registration of E for the remainder of the phase.

(5)

Subject to sub-paragraph (7), sub-paragraph (6) applies where the change occurs in an annual reporting year and E and F do not continue as separate participants.

(6)

Where this sub-paragraph applies and—

(a)

where—

(i)

F did not have a residual measurement list; and

(ii)

E did have a residual measurement list,

E’s residual measurement list becomes F’s list;

(b)

where E and F each had a residual measurement list before the change occurred, F must amend its list to include the residual supplies from E’s list.

(7)

Where E and F do not continue as separate participants and E had a general or group CCA exemption—

(a)

F has a member CCA exemption in respect of E; and

(b)

sub-paragraph (6) does not apply.