Explanatory note

These Regulations provide for a general charge to be paid by friendly societies towards the expenses of the Friendly Societies Commission. The charge is levied with respect to the Commisison’s accounting year beginning on 1st April 1995 and is expected to raise £0.65 million (an increase of 18 per cent. from that raised for the accounting year beginning 1st April 1994). Each friendly society (subject to a requirement to pay a minimum of £175 or a maximum of £19,500) is required to pay a sum equal to 0.24 per cent. of its specified income, as indicated by its contributions from members and interest on investments reported in its annual return submitted for the year ended 31st December 1993 the latest year for which annual returns are required.

These Regulations also, by regulation 5 and 6 and the respective schedules increase the fees to be paid for matters transacted under the Friendly Societies Act 1974 or the Friendly Societies Act 1992.

The fees relate more closely to the cost of delivering the various services: the increases, depending on the nature of the transaction, varying between nil and 52 per cent. and average 21 per cent. Charges for inspection of documents have been increased from £4.50 to £8 and associated fees (for obtaining copies etc) have been increased by a comparable amount.

The Regulations also revoke the Friendly Societies (General Charge and Fees) Regulations 1993 and the Friendly Societies (General Charge and Fees) (Amendment) Regulations 1994.

A review of the cost of compliance with these Regulations has been undertaken and the resulting compliance cost assessment may be purchased from the Secretary, Friendly Societies Commission, 15 Great Marlborough Street, London W1V 2AX.