The Financial Services and Markets Act 2000 (Exemption) Order 2001

• Citation: S.I. 2001/1201
• Sections: 77

Section 1 Citation and commencement

This Order may be cited as the Financial Services and Markets Act 2000 (Exemption) Order 2001 and comes into force on the day on which section 19 of the Act comes into force.

Section 2 Interpretation

In this Order—

“the Act" means the Financial Services and Markets Act 2000;

“charity"—

in relation to Scotland, means a body entered in the Scottish Charity Register ; and

otherwise, has the meaning given by section 96(1) of the Charities Act 1993 or by section 35 of the Charities Act (Northern Ireland) 1964 ;

...

“deposit" has the meaning given by the Regulated Activities Order;

“industrial and provident society" has the meaning given by section 417(1) of the Act but does not include a credit union within the meaning of the Credit Unions Act 1979 or the Credit Unions (Northern Ireland) Order 1985 ;

“investment firm” has the meaning given by the Regulated Activities Order;

“local authority" means—

in England and Wales, a local authority within the meaning of the Local Government Act 1972 , the Greater London Authority, the Common Council of the City of London or the Council of the Isles of Scilly;

in Scotland, a local authority within the meaning of the Local Government (Scotland) Act 1973 ; and

in Northern Ireland, a district council within the meaning of the Local Government Act (Northern Ireland) 1972 ;

“non-qualifying contract of insurance” means a contract of insurance (within the meaning of the Regulated Activities Order) which is not a qualifying contract of insurance (within the meaning of that Order);

“ qualifying credit institution ” has the meaning given by article 3 of the Regulated Activities Order;

“the Regulated Activities Order" means the Financial Services and Markets Act 2000 (Regulated Activities) Order 2001 .

Section 3 Persons exempt in respect of any regulated activity other than insurance business

Each of the persons listed in Part I of the Schedule is exempt from the general prohibition in respect of any regulated activity other than an activity of the kind specified by article 10 of the Regulated Activities Order (effecting and carrying out contracts of insurance).

Section 3A Persons exempt in respect of any regulated activity

Each of the persons listed in Part 1A of the Schedule is exempt from the general prohibition in respect of any regulated activity.

Section 4 Persons exempt in respect of accepting deposits

Subject to the limitations, if any, expressed in relation to him, each of the persons listed in Part II of the Schedule is exempt from the general prohibition in respect of any regulated activity of the kind specified by article 5 of the Regulated Activities Order (accepting deposits).

Section 5 Persons exempt in respect of particular regulated activities

(1) Subject to the limitation, if any, expressed in relation to him, each of the persons listed in Part III of the Schedule is exempt from the general prohibition in respect of any regulated activity of the kind specified by any of the following provisions of the Regulated Activities Order, or article 64 of that Order (agreeing to carry on specified kinds of activity) so far as relevant to any such activity—

(a) article 14 (dealing in investments as principal);

(b) article 21 (dealing in investments as agent);

(c) article 25 (arranging deals in investments);

(ca) article 25D (operating a multilateral trading facility);

(cb) article 25DA (operating an organised trading facility);

(d) article 37 (managing investments);

(da) article 39A (assisting in the administration and performance of a contract of insurance);

(e) article 40 (safeguarding and administering investments);

(f) article 45 (sending dematerialised instructions);

(ga) article 51ZA (managing a UCITS );

(gb) article 51ZB (acting as a trustee or depositary of a UCITS );

(gc) article 51ZC (managing an AIF);

(gd) article 51ZD (acting as a trustee or depositary of an AIF);

(ge) article 51ZE (establishing etc. a collective investment scheme);

(h) article 52 (establishing etc. a ... pension scheme);

(i) article 53 (advising on investments).

(j) article 55A (providing targeted support).

(2) Subject to the limitation, if any, expressed in relation to him, each of the persons listed in Part IV of the Schedule is exempt from the general prohibition in respect of any regulated activity of the kind referred to in relation to him, or an activity of the kind specified by article 64 of the Regulated Activities Order so far as relevant to any such activity.

Section 5A Persons exempt in respect of administering a benchmark

Part 1 of the Schedule does not apply to the regulated activity specified in article 63S of the Regulated Activities Order (administering a benchmark). The persons exempt in respect of the regulated activity of administering a benchmark are those listed, or carrying out an activity listed, in Article 2(2) of Regulation EU 2016/1011 of the European Parliament and of the Council of 8 June 2016 on indices used as benchmarks in financial instruments and financial contracts or to measure the performance of investment funds and amending Directives 2008/48/EC and 2014/17/EU and Regulation (EU) No 596/2014 .

Section 6 Transitional exemption for credit unions

A credit union, within the meaning ..., is exempt from the general prohibition in respect of any regulated activity of the kind specified by article 5 of the Regulated Activities Order, but only until 1st July 2002.

Section 1

The Bank of England.

Section 2

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 3

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 4

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 5

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 6

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 7

The European Investment Bank.

Section 8

The International Bank for Reconstruction and Development.

Section 9

The International Finance Corporation.

Section 10

The International Monetary Fund.

Section 11

The African Development Bank.

Section 12

The Asian Development Bank.

Section 13

The Caribbean Development Bank.

Section 14

The Inter-American Development Bank.

Section 15

The European Bank for Reconstruction and Development.

Section 15A

Bank for International Settlements.

Section 15B

Bank of England Asset Purchase Facility Fund Limited

Section 15C

Covid Corporate Financing Facility Limited.

Section 15D

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 15E

National Wealth Fund Limited.

Section 16

A municipal bank, that is to say a company which was, immediately before the coming into force of this Order, exempted from the prohibition in section 3 of the Banking Act 1987 by virtue of section 4(1) of, and paragraph 4 of Schedule 2 to, that Act.

Section 17

(1) Keesler Federal Credit Union, in so far as it accepts deposits from members, or dependants of members, of a visiting force of the United States of America, or from members, or dependants of members, of a civilian component of such a force.

(2) In sub-paragraph (1), “member", “dependent" and “visiting force" have the meanings given by section 12 of the Visiting Forces Act 1952 and “member of a civilian component" has the meaning given by section 10 of that Act.

Section 18

A body of persons certified as a school bank by the National Savings Bank or by an authorised person who has permission to accept deposits.

Section 19

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 20

(1) Any body which by virtue of any enactment has power to issue a precept to a local authority in England or Wales or a requisition to a local authority in Scotland, or to the expenses of which, by virtue of any enactment, a local authority in the United Kingdom is or can be required to contribute.

(2) In sub-paragraph (1), “enactment" includes an enactment comprised in, or in an instrument made under, an Act of the Scottish Parliament.

Section 21

The Council of Europe Development Bank.

Section 22

A charity, in so far as it accepts deposits—

(a) from another charity; or

(b) in respect of which no interest or premium is payable.

Section 23

The National Children’s Charities Fund in so far as—

(a) it accepts deposits in respect of which no interest or premium is payable; and

(b) the total value of the deposits made by any one person does not exceed £10,000.

Section 24

An industrial and provident society, in so far as it accepts deposits in the form of withdrawable share capital.

Section 24A

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 25

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Section 26

The National Debt Commissioners.

Section 27

Partnerships UK.

Section 28

The International Development Association.

Section 29

The English Tourist Board.

Section 30

....

Section 31

VisitScotland.

Section 32

The Northern Ireland Tourist Board.

Section 33

Scottish Enterprise.

Section 33A

Invest Northern Ireland.

Section 34

The Multilateral Investment Guarantee Agency.

Section 34A

The Board of the Pension Protection Fund.