Social Welfare and Pensions Act 2005

Amendment to Part VI of Principal Act.

36.—Part VI of the Principal Act is amended by the insertion after section 61A (inserted by section 25 of the Act of 1996) of the following section:

“Restriction on borrowing.

61B.—(1) Notwithstanding anything in the rules of the scheme and subject to regulations under subsection (2), trustees of a scheme may neither borrow money nor act as a guarantor on behalf of a third party.

(2) Subject to the Directive, regulations may provide that in the circumstances and subject to the conditions and restrictions that may be prescribed, trustees of a scheme may borrow money.”.