
1 
These Regulations may be cited as the Building Societies (Liquid Asset) (Amendment) (No. 2) Regulations 1995 and shall come into force on 1st January 1996.
2 
In these Regulations—
 “the Act” means the Building Societies Act 1986;
 “liquid asset” means an asset of a character which societies may hold under section 21 (liquid assets) of the Act for the purpose of meeting their liabilities as they arise;
 “predecessor” means, in relation to an existing society —
(a) a society which has transferred its engagements to that existing society, or
(b) a society which has amalgamated with one or more societies under section 93 (amalgamations) of the Act so as to establish that existing society as their successor; and
 “society” means a building society.
3 
The Schedule to the Building Societies (Liquid Asset) Regulations 1991 shall be amended—
(a) by the substitution of the following for paragraph 8 of Part I—“
8 
Stock lending rights arising from the lending of securities issued in the United Kingdom by Her Majesty’s Government.”;
(b) by the addition after paragraph 9 of Part I of the following additional paragraph—“
10 
Rights arising from the lending under the rules of any depository or clearing agent of any securities which come within paragraph 3, 4 or 7 above and which are recorded in the records of the depository or clearing agent in the name of the society or of any person who holds such securities on the society’s behalf.”; and
(c) by the addition in Part III after the definition of “Stock Exchange money broker” of the following additional definition—“
 “stock lending right” means a right of a person who has transferred a security to another person to receive, or to call for the transfer to some other person of, a security of the same issue and amount as the security so transferred.”.
4 

(1) This regulation applies to assets of a society which—
(a) were previously liquid assets but have ceased to be so on the coming into force of these Regulations, and
(b) have been held by the society continuously since a date before the date on which they ceased to be liquid assets.
(2) A society which holds assets to which this regulation applies shall not lose its power to continue to hold those assets.
(3) In this regulation a society is treated as including any predecessor of the society.
In witness whereof the common seal of the Building Societies Commission is hereunto fixed, and is authenticated by me, a person authorised under paragraph 14 of Schedule 1 to the Building Societies Act 1986, on
J. Dennis
Secretary to the Commission
27th November 1995.We consent to these Regulations.
S. Burns
D. Conway
Two of the Lords Commissioners of Her Majesty’s Treasury
4th December 1995