Regulation 10 Apportionment in relation to a with-profit fund (3)

(1)

This regulation applies to a relevant computational item which relates to a with-profit fund where neither regulation 8 or 9 applies.

(2)

Each relevant computational item must be apportioned between the specified businesses in the same proportion as the bonuses declared for that with-profit fund are referable to each of the specified businesses in respect of the accounting period ending on 31 December 2012.

(3)

But if the bonuses declared in respect of the accounting period ending on 31 December 2012—

(a)

are nil,

(b)

are of a negligible amount by reference to the liabilities to the policyholders of the fund at that date, or

(c)

would otherwise give a result which is not representative of the respective contribution of the specified businesses to the fund,

the company must apportion each relevant computational item between the specified businesses in a way which fairly reflects the proportion of the fund that each of the specified businesses represents as at 31 December 2012.

(4)

Where a company is one to which paragraph 3 or paragraph 4 of Schedule 17 applies, paragraphs (2) and (3) of this regulation apply as if the references to the accounting period ending on 31 December 2012 were references to the last accounting period which ended before 31 December 2012.