Finance Update March 2009 - Olswang

General Finance
General Finance News
Association of Corporate Treasurers (ACT)
The ACT has published a report entitled 'Credit crisis and corporates – funding and beyond'. This
report looks at the impact of the credit crisis on the treasury plans of the top 350 quoted businesses, after
conducting a series of interviews with members of the ACT. It considers the current conditions in the
market, the views of these companies on the availability of credit, feedback on banks and the derivatives
market and some views on what the next few years are likely to hold.
Banking Act 2009
The Banking Act 2009 came into force on 21 February 2009. This Act is divided into a several sections:
• Part 1 – special resolution regime to deal with banks facing financial problems which replaces the
temporary powers under the Banking (Special Provisions) Act 2008;
• Parts 2 and 3 – new bank insolvency and bank administration procedure, both of which are largely
based on the existing procedures set out in the Insolvency Act 1986 (as amended by the
Enterprise Act 2002);
• Part 4 – framework for changing the Financial Services Compensation Scheme;
• Part 5 – inter-bank payment systems;
• Part 6 – issues relating to bank notes in Scotland and Northern Ireland; and
• Part 7 – miscellaneous issues, including the governance of the Bank of England and an index of
terms defined in the Act.
Companies Act 2006
The following legislation has been published in relation to the Companies Act 2006:
• the draft Companies Act 2006 (Accounts, Reports and Audit) Regulations 2009 were
published on 6 February 2009. These need to be approved by both Houses of Parliament;
• the Companies Act (Disclosure of Address) Regulations 2009, together with an explanatory
memorandum, were published on 16 February. These specify the conditions for disclosure of the
directors' residential addresses to public authorities and credit ratings agencies. These regulations
will come into force on 1 October 2009;
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