Schedule

To be inserted after Schedule 1 to the principal Regulations–

“SCHEDULE 1A

Regulations 18(2)and 19(5)

PART I

ASSETS NOT TO BE DISREGARDED AS PAYMENTS UNDER REGULATION 19(1)(d)

1

Sharesand stock in the share capital of a company.

2

Debentures, including debenture stock, loan stock, bonds, certificates of depositand other instruments creating or acknowledging indebtedness, not being instruments falling within paragraph 3 of this Schedule.

3

Loan stock, bondsand other instruments creating or acknowledging indebtedness issued by or on behalf of a government, local authority or public authority.

4

Warrants or other instruments entitling the holder to subscribe for assets falling within paragraph 1, 2 or 3 of this Schedule.

5

Certificates or other instruments which confer–

(a)

property rights in respect of any asset falling within paragraph 1, 2, 3 or 4 of this Schedule;

(b)

any right to acquire, dispose of, underwrite or convert an asset, being a right to which the holder would be entitled if he held any such asset to which the certificate or instrument relates; or

(c)

a contractual right (other than an option) to acquire any such asset otherwise than by subscription.

6

Units in a collective investment scheme, including shares in or securities of an open-ended investment company.

7

Options to acquire or dispose of–

(a)

an asset falling within any other paragraph of this Schedule;

(b)

currency of the United Kingdom or of any other country or territory;

(c)

gold, silver, palladium or platinum; or

(d)

an option to acquire or dispose of an asset falling within this paragraph by virtue of sub-paragraph (a), (b) or (c) of this paragraph.

8

A contract for the sale of a commodity or property of any other description under which delivery is to be made at a future date and at a price agreed upon when the contract is made.

9

A contract for differences or any other contract the purpose or pretended purpose of which is to secure a profit or avoid a loss by reference to fluctuations in the value or price of property of any description or in an index or other factor designated for that purpose in the contract.

PART II

INTERPRETATION OF PART I OF THIS SCHEDULE

10

In paragraph 1 of this Schedule “company” includes–

(a)

any body corporate whether constituted under the law of, or of any part of, the United Kingdom or of any other country or territory and also any unincorporated body constituted under the law of a country or territory outside the United Kingdom; and

(b)

any body incorporated under the law of, or of any part of, the United Kingdom relating to a building society within the meaning of section 119(1) of the Building Societies Act 1986^f1 or an industrial and provident society registered or deemed to be registered under the Industrial and Provident Societies Act 1965^f2 or under the Industrial and Provident Societies Act (Northern Ireland) 1969^f3.

11

In paragraph 3 of this Schedule–

(a)

“government” means the government of the United Kingdom, of Northern Ireland, or of any country or territory outside the United Kingdom;

(b)

“local authority” means a local authority in the United Kingdom or elsewhere and in respect of a local authority in the United Kingdom it has the meaning assigned to it in section 842A of the Income and Corporation Taxes Act 1988^f4;

(c)

“public authority” means any international organisation the members of which include the United Kingdom or another member State.

12

For the purposes of paragraph 4 of this Schedule it is immaterial whether the assets are for the time being in existence or identifiable.

13

In paragraph 6 of this Schedule–

(a)

“collective investment scheme” has the meaning assigned to it in section 75(1) of the Financial Services Act 1986^f5;

(b)

“open-ended investment company” has the meaning assigned to it in section 75(8) of that Act.

14

For the purposes of paragraph 8 of this Schedule, a price shall be taken to have been agreed upon when a contract is made–

(a)

notwithstanding that it is left to be determined by reference to the price at which a contract is to be entered into on a market or exchange or could be entered into at a time and place specified in the contract; or

(b)

in a case where the contract is expressed to be by reference to a standard lot and quality, notwithstanding that provision is made for a variation in the price to take account of any variation in quantity or quality on delivery.”