Savings Banks Act 1929
| Jurisdiction | UK Non-devolved |
| Citation | 1929 c. 27 |
| Year | 1929 |
Savings Banks Act, 1929.
(19 & 20 Geo. 5.) CHAPTER 27.
An Act to amend the law relating to Savings Banks, Savings Bank Annuities, and the Post Office Register
[10th May 1929]
Be it enacted by the King's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—
1 Amendment as to security to be given by officer of bank.
(1) The security to be given in pursuance of section eight of the Trustee Savings Banks Act, 1863, as amended by any subsequent enactment, may be either in the form required by that section as so amended or, if the Commissioners and the Inspection Committee approve, in the form of a single bond of a guarantee society guaranteeing all the persons employed by the bank or at any branch thereof who are required to give such security.
(2) When security is given in the last-mentioned form, the annual premium on the bond shall be paid by the trustees, and the trustees shall be entitled to recover from each person covered by the bond such proportion of the premium as that person's annual salary bears to the total amount of the annual salaries of the persons covered by the bond.
(3) The security required by paragraph (f) of section ten of the Savings Banks Act, 1891, to be given in respect of the amount received on account of special investments shall not be separate from the security required by the said section eight of the Trustee Savings Banks Act, 1863, and accordingly the said paragraph (f) shall have effect as if the word ‘separate’ were not contained therein.
2 Trustee savings banks not to be closed without consent of Commissioners.
(1) It shall not be lawful for the trustees of a trustee savings bank to close or dissolve the bank or cease to carry on the business of the bank or carry on business only for the purpose of winding up its affairs unless—
(a ) the Commissioners consent; or
(b ) the bank is ordered to be wound up in pursuance of section two hundred and sixty-eight of the Companies (Consolidation) Act, 1908.
(2) The consent of the Commissioners under this section shall not be given unless and until they have satisfied themselves, after consultation with the Inspection Committee and the Association, that there are no proper persons able and willing to act as trustees and managers of the bank.
3 Repeal of s. 5 of Savings Bank Investment Act, 1863.
3. Section five of the Savings Bank Investment Act, 1863(which provides that one half of the securities held by the Commissioners for savings banks shall consist of securities the interest of which is chargeable on the Consolidated Fund), shall cease to have effect.
4 Expenses of National Debt Commissioners and Inspection Committee to be defrayed out of surplus interest.
(1) The Commissioners shall in every year, out of the amount by which the gross amount of the interest accrued during the preceding year on the securities standing in the name of the Commissioners to the credit of the Fund for the Banks for Savings appears by the account laid before Parliament under section seventeen of the Customs, Inland Revenue and Savings Banks Act, 1877, to have exceeded the gross amount of the interest paid and credited in that year to trustees of savings banks, apply, in accordance with the directions of the Treasury, such sum as the Treasury may from time to time authorise towards defraying—
(a ) in the first place, the expenses incurred by the Inspection Committee in the exercise of any powers conferred by the enactments relating to trustee savings banks:
(b ) in the second place, the expenses incurred by the Commissioners in the execution of the said enactments.
(2) Section fifteen of the said Act shall have effect as though the surplus of the interest accrued above the interest paid and credited were diminished by the sum of section four of the Savings Banks Act, 1891, shall have effect as if a reference to the amount available under subsection (1) of this section were substituted for the reference to the amount available under subsection (1) of that section.
5 Certain sums to be included in expenses of Postmaster-General and National Debt Commissioners.
5. For the purpose of any enactment (including this Act) which provides that the expenses incurred in the execution of the enactments relating to savings banks by the Postmaster-General and the Commissioners respectively are to be defrayed out of any specified fund, the expenses so incurred shall be deemed to include—
Provided that, if in any case where the amount of any such capital expenditure has been charged to the said fund the premises in respect of which the expenditure was incurred are sold or cease to be used for the said purposes, there shall be deducted from the amount thereafter chargeable to the said fund such sum as may be determined by the Treasury to represent the then value of the premises or of that part of the premises which was used for the said purposes;
6 Amendments as to special investments.
(1) Notwithstanding anything in paragraph (d ) of subsection (2) of section one of the Trustee Savings Bank Act, 1918, the Commissioners may, if they think fit, on the application of the trustees of any trustee savings bank, authorise not more than twenty per cent. of the moneys received by the trustees in respect of special investments to be invested in any Government securities which will mature for payment not later than twenty years after the date of the investment.
(2) It shall not be necessary for the Commissioners, before authorising the trustees of a trustee savings bank in pursuance of subsection (1) of section six of the Savings Banks Act, 1904, to make special investments, to be satisfied that the bank has an aggregate cash liability to its depositors, irrespective of the amount of any special investments, of not less than two hundred thousand pounds, if
(a ) the Association concur in the recommendation of the Inspection Committee required by that subsection; and
(b ) the Commissioners, having regard to the financial position of the bank and the size and importance of the area served by it, think it expedient in the interests of the depositors of the bank that the authority should be given.
7 Power to make advances to new trustee savings banks.
7. Where the Commissioners, in pursuance of section two of the Trustee Savings Banks Act, 1863, approve the formation of a new trustee savings bank, the Commissioners may, after consultation with the Association and the Inspection Committee, advance to the trustees of that bank out of such part of the separate surplus fund as stands to the credit of closed trustee savings banks such sums as they think fit for the purpose of providing for expenses incurred in connection with the formation and the initial working of the bank, and any such advance may be made on such terms and conditions and for such period as the Commissioners with the consent of the Treasury may determine.
8 Power to apply surplus special investment capital for land and buildings.
(1) Subject as hereinafter provided, the trustees of a trustee savings bank may, with the consent of the Commissioners, apply a part of the surplus capital held by the bank on account of special investments towards the purchase of land or the provision of buildings for the purposes of the bank, and section four of the Savings Banks Act, 1904, as amended by this Act, shall have effect accordingly:
Provided that—
(a ) the Commissioners shall not give their consent in any case if the amount proposed to be applied would, when added to any sums already applied under this section (excluding sums applied towards the purchase of any land or the provision of any buildings which have been sold), exceed twenty per cent. of the surplus capital as shown on the last annual valuation; and
(b ) all moneys accruing from or in...
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