{
  "url": "https://openlegislation.uk/draft-large-and-medium-sized-companies-and-groups-accounts-and-reports-regulations-2008/schedule-2/paragraph-15",
  "json_url": "https://openlegislation.uk/draft-large-and-medium-sized-companies-and-groups-accounts-and-reports-regulations-2008/schedule-2/paragraph-15.json",
  "legislation": "ukdsi/2008/9780110806303",
  "legislation_title": "The Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008",
  "legislation_url": "https://openlegislation.uk/draft-large-and-medium-sized-companies-and-groups-accounts-and-reports-regulations-2008",
  "path": "schedule/2/paragraph/15",
  "kind": "paragraph",
  "number": "15",
  "heading": "Managed funds",
  "text": "(1) For the purposes of this paragraph, “managed funds” are funds which the company administers in its own name but on behalf of others and to which it has legal title.\n(2) The company must, in any case where claims and obligations arising in respect of managed funds fall to be treated as claims and obligations of the company, adopt the following accounting treatment.\n(3) Claims and obligations representing managed funds are to be included in the company’s balance sheet, with the notes to the accounts disclosing the total amount included with respect to such assets and liabilities in the balance sheet and showing the amount included under each relevant balance sheet item in respect of such assets or (as the case may be) liabilities.\nProfit and loss account formats\nFormat 1\nVertical layout\n1.\nInterest receivable (1)\n(1)\nInterest receivable and similar income arising from debt securities [and other fixed-income securities]\n(2)\nOther interest receivable and similar income\n2.\nInterest payable (2)\n3.\nDividend income\n(a)\nIncome from equity shares [and other variable-yield securities]\n(b)\nIncome from participating interests\n(c)\nIncome from shares in group undertakings\n4.\nFees and commissions receivable (3)\n5.\nFees and commissions payable (4)\n6.\nDealing [profits] [losses] (5)\n7.\nOther operating income\n8.\nAdministrative expenses\n(a)\nStaff costs\n(i)\nWages and salaries\n(ii)\nSocial security costs\n(iii)\nOther pension costs\n(b)\nOther administrative expenses\n9.\nDepreciation and amortisation (6)\n10.\nOther operating charges\n11.\nProvisions\n(a)\nProvisions for bad and doubtful debts (7)\n(b)\nProvisions for contingent liabilities and commitments (8)\n12.\nAdjustments to provisions\n(a)\nAdjustments to provisions for bad and doubtful debts (9)\n(b)\nAdjustments to provisions for contingent liabilities and commitments (10)\n13.\nAmounts written off fixed asset investments (11)\n14.\nAdjustments to amounts written off fixed asset investments (12)\n15.\n[Profit] [loss] on ordinary activities before tax\n16.\nTax on [profit] [loss] on ordinary activities\n17.\n[Profit] [loss] on ordinary activities after tax\n18.\nExtraordinary income\n19.\nExtraordinary charges\n20.\nExtraordinary [profit] [loss]\n21.\nTax on extraordinary [profit] [loss]\n22.\nExtraordinary [profit] [loss] after tax\n23.\nOther taxes not shown under the preceding items\n24.\n[Profit] [loss] for the financial year\nProfit and loss account formats\nFormat 2\nHorizontal layout\nA.\nCharges\n1.\nInterest payable (2)\n2.\nFees and commissions payable (4)\n3.\nDealing losses (5)\n4.\nAdministrative expenses\n(a)\nStaff costs\n(i)\nWages and salaries\n(ii)\nSocial security costs\n(iii)\nOther pension costs\n(b)\nOther administrative expenses\n5.\nDepreciation and amortisation (6)\n6.\nOther operating charges\n7.\nProvisions\n(a)\nProvisions for bad and doubtful debts (7)\n(b)\nProvisions for contingent liabilities and commitments (8)\n8.\nAmounts written off fixed asset investments (11)\n9.\nProfit on ordinary activities before tax\n10.\nTax on [profit] [loss] on ordinary activities\n11.\nProfit on ordinary activities after tax\n12.\nExtraordinary charges\n13.\nTax on extraordinary [profit] [loss]\n14.\nExtraordinary loss after tax\n15.\nOther taxes not shown under the preceding items\n16.\nProfit for the financial year\nB.\nIncome\n1.\nInterest receivable (1)\n(1)\nInterest receivable and similar income arising from debt securities [and other fixed-income securities]\n(2)\nOther interest receivable and similar income\n2.\nDividend income\n(a)\nIncome from equity shares [and other variable-yield securities]\n(b)\nIncome from participating interests\n(c)\nIncome from shares in group undertakings\n3.\nFees and commissions receivable (3)\n4.\nDealing profits (5)\n5.\nAdjustments to provisions\n(a)\nAdjustments to provisions for bad and doubtful debts (9)\n(b)\nAdjustments to provisions for contingent liabilities and commitments (10)\n6.\nAdjustments to amounts written off fixed asset investments (12)\n7.\nOther operating income\n8.\nLoss on ordinary activities before tax\n9.\nLoss on ordinary activities after tax\n10.\nExtraordinary income\n11.\nExtraordinary profit after tax\n12.\nLoss for the financial year\nNotes on the profit and loss account formats\n(1)\nInterest receivable\n(Format 1, item 1; format 2, item B1.)\nThis item is to include all income arising out of banking activities, including—\n(a) income from assets included in assets items 1 to 5 in the balance sheet format, however calculated,\n(b) income resulting from covered forward contracts spread over the actual duration of the contract and similar in nature to interest, and\n(c) fees and commissions receivable similar in nature to interest and calculated on a time basis or by reference to the amount of the claim (but not other fees and commissions receivable).\n(2)\nInterest payable\n(Format 1, item 2; format 2, item A1.)\nThis item is to include all expenditure arising out of banking activities, including—\n(a) charges arising out of liabilities included in liabilities items 1, 2, 3 and 7 in the balance sheet format, however calculated,\n(b) charges resulting from covered forward contracts, spread over the actual duration of the contract and similar in nature to interest, and\n(c) fees and commissions payable similar in nature to interest and calculated on a time basis or by reference to the amount of the liability (but not other fees and commissions payable).\n(3)\nFees and commissions receivable\n(Format 1, item 4; format 2, item B3.)\nFees and commissions receivable are to comprise income in respect of all services supplied by the company to third parties, but not fees or commissions required to be included under interest receivable (format 1, item 1; format 2, item B1).\nIn particular the following fees and commissions receivable must be included (unless required to be included under interest receivable)—\n(a) fees and commissions for guarantees, loan administration on behalf of other lenders and securities transactions,\n(b) fees, commissions and other income in respect of payment transactions, account administration charges and commissions for the safe custody and administration of securities,\n(c) fees and commissions for foreign currency transactions and for the sale and purchase of coin and precious metals, and\n(d) fees and commissions charged for brokerage services in connection with savings and insurance contracts and loans.\n(4)\nFees and commissions payable\n(Format 1, item 5; format 2, item A2.)\nFees and commissions payable are to comprise charges for all services rendered to the company by third parties but not fees or commissions required to be included under interest payable (format 1, item 2; format 2, item A1).\nIn particular the following fees and commissions payable must be included (unless required to be included under interest payable)—\n(a) fees and commissions for guarantees, loan administration and securities transactions;\n(b) fees, commissions and other charges in respect of payment transactions, account administration charges and commissions for the safe custody and administration of securities;\n(c) fees and commissions for foreign currency transactions and for the sale and purchase of coin and precious metals; and\n(d) fees and commissions for brokerage services in connection with savings and insurance contracts and loans.\n(5)\nDealing [profits] [losses]\n(Format 1, item 6; format 2, items B4 and A3.)\nThis item is to comprise—\n(a) the net profit or net loss on transactions in securities which are not held as financial fixed assets together with amounts written off or written back with respect to such securities, including amounts written off or written back as a result of the application of paragraph 33(1),\n(b) the net profit or loss on exchange activities, save in so far as the profit or loss is included in interest receivable or interest payable (format 1, items 1 or 2; format 2, items B1 or A1), and\n(c) the net profits and losses on other dealing operations involving financial instruments, including precious metals.\n(6)\nDepreciation and amortisation\n(Format 1, item 9; format 2, item A5.)\nThis item is to comprise depreciation and other amounts written off in respect of balance sheet assets items 9 and 10.\n(7)\nProvisions: Provisions for bad and doubtful debts\n(Format 1, item 11(a); format 2, item A7(a).)\nProvisions for bad and doubtful debts are to comprise charges for amounts written off and for provisions made in respect of loans and advances shown under balance sheet assets items 3 and 4.\n(8)\nProvisions: Provisions for contingent liabilities and commitments\n(Format 1, item 11(b); format 2, item A7(b).)\nThis item is to comprise charges for provisions for contingent liabilities and commitments of a type which would, if not provided for, be shown under Memorandum items 1 and 2.\n(9)\nAdjustments to provisions: Adjustments to provisions for bad and doubtful debts\n(Format 1, item 12(a); format 2, item B5(a).)\nThis item is to include credits from the recovery of loans that have been written off, from other advances written back following earlier write offs and from the reduction of provisions previously made with respect to loans and advances.\n(10)\nAdjustments to provisions: Adjustments to provisions for contingent liabilities and commitments\n(Format 1, item 12(b); format 2, item B5(b).)\nThis item comprises credits from the reduction of provisions previously made with respect to contingent liabilities and commitments.\n(11)\nAmounts written off fixed asset investments\n(Format 1, item 13; format 2, item A8.)\nAmounts written off fixed asset investments are to comprise amounts written off in respect of assets which are transferable securities held as financial fixed assets, participating interests and shares in group undertakings and which are included in assets items 5 to 8 in the balance sheet format.\n(12)\nAdjustments to amounts written off fixed asset investments\n(Format 1, item 14; format 2, item B6.)\nAdjustments to amounts written off fixed asset investments are to include amounts written back following earlier write offs and provisions in respect of assets which are transferable securities held as financial fixed assets, participating interests and group undertakings and which are included in assets items 5 to 8 in the balance sheet format.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukdsi/2008/9780110806303/schedule/2/paragraph/15",
    "retrieved_at": "2026-10-30T15:17:10.246861+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."
}