Trustee Investments Act 1961

Part IIU.K. Narrower-Range Investments Requiring Advice

1U.K.In securities issued by Her Majesty’s Government in the United Kingdom, the Government of Northern Ireland or the Government of the Isle of Man, not being securities falling within Part I of this Schedule and being fixed-interest securities registered in the United Kingdom or the Isle of Man, Treasury Bills or Tax Reserve Certificates [F1or any variable interest securities issued by Her Majesty’s Government in the United Kingdom and registered in the United Kingdom.]

2U.K.In any securities the payment of interest on which is guaranteed by Her Majesty’s Government in the United Kingdom or the Government of Northern Ireland.

3U.K.In fixed-interest securities issued in the United Kingdom by any public authority or nationalised industry or undertaking in the United Kingdom.

4U.K.In fixed-interest securities issued in the United Kingdom by the government of any overseas territory within the Commonwealth or by any public or local authority within such a territory, being securities registered in the United Kingdom.

References in this paragraph to an overseas territory or to the government of such a territory shall be construed as if they occurred in the M1Overseas Service Act 1958.

[F24AU.K.In securities issued in the United Kingdom by the government of an overseas territory within the Commonwealth or by any public or local authority within such a territory, being securities registered in the United Kingdom and in respect of which the rate of interest is variable by reference to one or more of the following:—

(a)the Bank of England’s minimum lending rate;

(b)the average rate of discount on allotment on 91-day Treasury Bills;

(c)a yield on 91-day Treasury Bills;

(d)a London sterling inter-bank offered rate;

(e)A London sterling certificate of deposit rate.

References in this paragraph to an overseas territory or to the government of such a territory shall be construed as if they occurred in the Overseas Service Act 1958.]

5U.K.In fixed-interest securities issued in the United Kingdom by [F3the African Development Bank, the Asian Development Bank, the Caribbean Development Bank, [F4 the European Bank for Reconstruction and Development,]the International Finance Corporation, the International Monetary Fund or by] the International Bank for Reconstruction and Development, being securities registered in the United Kingdom.

[F5In fixed-interest securities issued in the United Kingdom by the Inter-American Development Bank.]

[F6In fixed-interest securities issued in the United Kingdom by [F7the European Atomic Energy Community, the European Bank for Reconstruction and Development, the European Economic Community,] the European Investment Bank or by the [F8European Union], being securities registered in the United Kingdom.]

[F95AU.K.In securities issued in the United Kingdom by

(i)the International Bank for Reconstruction and Development or by the European Investment Bank or by the [F8European Union], being securities registered in the United Kingdom; or

(ii)the Inter-American Development Bank;

being securities in respect of which the rate of interest is variable by reference to one or more of the following:

(a)the Bank of England’s minimum lending rate;

(b)the average rate of discount on allotment on 91-day Treasury Bills;

(c)a yield on 91-day Treasury Bills;

(d)a London sterling inter-bank offered rate;

(e)a London sterling certificate of deposit rate.]

[F105BU.K.In securities issued in the United Kingdom by the African Development Bank, the Asian Development Bank, the Caribbean Development Bank, the European Atomic Energy Community, [F11 the European Bank for Reconstruction and Development,] the European Economic Community, the International Finance Corporation or by the International Monetary Fund, being securities registered in the United Kingdom and in respect of which the rate of interest is variable by reference to one or more of the following:—

(a)The average rate of discount on allotment on 91-day Treasury Bills:

(b)a yield on 91-day Treasury Bills;

(c)a London sterling inter-bank offered rate;

(d)a London sterling certificate of deposit rate.]

6U.K.In debentures issued in the United Kingdom by a company incorporated in the United Kingdom, being debentures registered in the United Kingdom.

7U.K.In stock of the Bank of Ireland.

[F12In Bank of Ireland 7 per cent Loan Stock 1986/91.]

F13[8U.K.In debentures issued by the Agricultural Mortgage Corporation Limited or the Scottish Agricultural Securities Corporation Limited.]

9U.K.In loans to any authority to which this paragraph applies charged on all or any of the revenues of the authority or on a fund into which all or any of those revenues are payable, in any fixed-interest securities issued in the United Kingdom by any such authority for the purpose of borrowing money so charged, and in deposits with any such authority by way of temporary loan made on the giving of a receipt for the loan by the treasurer or other similar officer of the authority and on the giving of an undertaking by the authority that, if requested to charge the loan as aforesaid, it will either comply with the request or repay the loan.

This paragraph applies to the following authorities, that is to say—

(a)any local authority in the United Kingdom;

[F14(aa)the Greater London Authority;

(ab)any functional body, within the meaning of the Greater London Authority Act 1999;]

(b)any authority all the members of which are appointed or elected by one or more local authorities in the United Kingdom;

(c)any authority the majority of the members of which are appointed or elected by one or more local authorities in the United Kingdom, being an authority which by virtue of any enactment has power to issue a precept to a local authority in England and 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;

[F15(d)a police and crime commissioner;]

F16(da). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(e)the Belfast City and District Water Commissioners;

[F17(f)the Great Ouse Water Authority.]

[F18(g)any district council in Northern Ireland.]

[F19(h)F20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(i) any residuary body established by section 57 of the M2 Local Government Act 1985. ]

[F21(j)a fire and rescue authority created by an order under section 4A of the Fire and Rescue Services Act 2004.]

[F229AU.K.In any securities issued in the United Kingdom by any authority to which paragraph 9 applies for the purpose of borrowing money charged on all or any of the revenues of the authority or on a fund into which all or any of these revenues are payable and being securities in respect of which the rate of interest is variable by reference to one or more of the following:

(a)the Bank of England’s minimum lending rate;

(b)the average rate of discount on allotment on 91-day Treasury Bills;

(c)a yield on 91-day Treasury Bills;

(d)a London sterling inter-bank offered rate;

(e)a London sterling certificate of deposit rate.]

[F2310U.K.In debentures or in the guaranteed or preference stock of any incorporated company, being statutory water undertakers within the meaning of the M3Water Act, 1945, or any corresponding enactment in force in Northern Ireland, and having during each of the ten years immediately preceding the calendar year in which the investment was made paid a dividend of not less than [F24½ per cent] on its ordinary shares.]

[F2510AU.K.In any units of a gilt unit trust scheme. A gilt unit trust scheme is an authorised unit trust scheme, or a recognised scheme, the objective of which is—

(a)to invest at least 90% of the property of the scheme in loan stock, bonds or other instruments creating indebtedness which—

(i)are transferable; and

(ii)are issued or guaranteed by the government of the United Kingdom or of any other country or territory, by a local authority in the United Kingdom or in a relevant state, or by an international organisation the members of which include the United Kingdom or a relevant state;

(b)to invest the remainder of the property of the scheme in shares, debentures or other instruments creating or acknowledging indebtedness, certificates representing securities or units in a collective investment scheme.

11U.K.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F26

[F2712U.K.In deposits with a building society within the meaning of the M4Building Societies Act 1986.]

13U.K.In mortgages of freehold property in England and Wales or Northern Ireland and of leasehold property in those countries of which the unexpired term at the time of investment is not less than sixty years, and in loans on heritable security in Scotland.

14U.K.In perpetual rent charges charged on land in England and Wales or Northern Ireland and fee-farm rents (not being rent-charges) issuing out of such land F28... .

[F2915U.K.In Certificates of Tax Deposit.]

[F3016U.K.In fixed-interest or variable interest securities issued by the Government of a relevant state.]

F31[17U.K.In any securities the payment of interest in which is guaranteed by the Government of a relevant state.]

F32[18U.K.In fixed-interest securities issued in a relevant state by any public authority or nationalised industry or undertaking in any such state.]

F33[19U.K.In fixed-interest or variable interest securities issued in a relevant state by the Government of any overseas territory within the Commonwealth or by any public or local authority within such a territory.

[F34For this purpose—

(a) “ overseas territory ” means any territory or country outside the United Kingdom, and

(b)the reference to the government of any overseas territory includes a reference to a government constituted for two or more overseas territories, and to any authority established for the purpose of providing or administering services which are common to, or relate to matters of common interest to, two or more such territories.]]

[F3520U.K.In fixed-interest or variable interest securities issued in a relevant state by—

(a)the African Development Bank;

(b)the Asian Development Bank;

(c)the Caribbean Development Bank;

(d)the International Finance Corporation;

(e)the International Monetary Fund;

(f)the International Bank for Reconstruction and Development;

(g)the Inter-American Development Bank;

(h)the European Atomic Energy Community;

(i)the European Bank for Reconstruction and Development;

(j)the European Economic Community;

(k)the European Investment Bank; or

(l)the European Coal or Steel Community.]

[F3621U.K.In debentures issued in any relevant state by a company incorporated in that state.]

[F3722U.K.In loans to any authority to which this paragraph applies secured on all or any of the revenues of the authority or on a fund into which all or any of those revenues are payable, in fixed-interest or variable interest securities issued in a relevant state by any such authority in that state for the purpose of borrowing money so secured, and in deposits with any authority to which this paragraph applies by way of temporary loan made on the giving of a receipt for the loan by the treasurer or other similar officer of the authority and on the giving of an undertaking by the authority that, if requested to charge the loan as aforesaid, it will either comply with the request or repay the loan. This paragraph applies to the following authorities, that is to say—

(a)any local authority in a relevant state; or

(b)any authority all the members of which are appointed or elected by one or more local authorities in any such state.]

[F3823U.K.In deposits with a mutual investment society whose head office is located in a relevant state.]

F39[24U.K.In loans secured on any interest in property in a relevant state which corresponds to an interest in property falling within paragraph 13 of this Part of this Schedule.]