# The Occupational Pension Schemes (Scheme Administration) Regulations 1996, Regulation 11: Exemption from the requirement for money to be kept by the trustees


(1) For the purposes of section 49(1) of the 1995 Act (trustees of any trust scheme must, except in any prescribed circumstances, keep money received in a separate account with a deposit-taker) the prescribed circumstances are—
(a) where the trustees have entered into an arrangement or contract with a person to the effect that the money is to be paid into a an account held by that person; and separate from one held by or on behalf of the employer as employer and
(i) it is a condition of that arrangement or contract that a record by that person shall be kept of the information referred to in paragraph (2) and such records should be retained for a period of at least 6 years; and
(ii) any interest earned on the account shall be credited to the scheme in respect of which the money is deposited;
(b) where the trustees have an account.
(i) kept by them with any of the persons specified in paragraph (3);
(ii) separate from one held by or on behalf of the employer as employer; and
(iii) in which the money received by them is to be held.
(2) The information referred to in paragraph (1)(a)(i) is the—
(a) amount of money paid into the account, the date of payment and from whom it was received;
(b) amount of money paid out of the account, the date of withdrawal and to whom payment was made; and
(c) interest earned on the account of each scheme in respect of which money is deposited.
(3) The persons referred to in paragraph (1)(b)(i) are—
(a) the Bank of England ...;
(b) the National Savings Bank; or
(c) a municipal bank.
(4) In paragraph (3)—
(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b) “municipal bank” means a company within the meaning of the Companies Act 1985—
(i) in respect of which a resolution has been passed by a local authority under section 48(3) of the Banking Act 1979 or section 103(3) of the Banking Act 1987; and
(ii) is exempt from the prohibition imposed by section 19 of the Financial Services and Markets Act 2000 in relation to the acceptance of deposits;
(c) the definition of “municipal bank” above must be read with—
(i) section 22 of the Financial Services and Markets Act 2000,
(ii) any relevant order under that section, and
(iii) Schedule 2 to that Act.

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Source: https://www.legislation.gov.uk/uksi/1996/1715/regulation/11 (the official version)
Page: https://openlegislation.uk/occupational-pension-schemes-scheme-administration-regulations-1996/regulation-11
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.