Explanatory note

This Order amends the Schedule to the Financial Services and Markets Act 2000 (Exemption) Order 2001 (S.I. 2001/1201) (“the Schedule”) which provides for certain persons to be exempt from the general prohibition imposed by section 19 of the Financial Services and Markets Act 2000 (c. 8) (“the Act”).

Article 2(1) adds the Board of the Pension Protection Fund (established by section 107 of the Pensions Act 2004 (c. 35)) to Part III of the Schedule. Article 2(2) adds Communities Scotland, a Scottish Executive agency, to paragraph 48 of the Schedule. Article 3 makes various amendments to paragraph 49, of the Schedule, which exempts those engaged in the wholesale trade in electricity from certain requirements of the Act. Paragraph (2) provides for the exemption to apply to Great Britain rather than to England and Wales. Paragraph (3) makes consequential changes and paragraph (4) amends definitions so as to reflect the introduction of the British Electricity Trading and Transmission Arrangements for the wholesale trade in electricity.

A Regulatory Impact Assessment has not been prepared for Article 2 of this Order as it has no impact on the cost of business. A Regulatory Impact Assessment has been prepared for Article 3 of this Order and a copy can be obtained from the Financial Stability and Regulatory Policy Team, HMT Treasury, 1 Horse Guards Road, London, SW1A 2HQ.2004 c. 20.