RIP Industrial and Provident Societies
In May 2014 The Co-operatives & Community Benefit Societies Act was passed.
This consolidated act replaces the myriad of laws and regulations (namely the 1965, 1967, 1975, 1978 and 2002 Industrial and Provident Societies Acts; the Friendly and Industrial and Provident Societies Act 1968; the Co-operatives and Community Benefit Societies Act 2003; and the Co‑operative and Community Benefit Societies and Credit Unions Act 2010), that have emerged over a period of 50 years or more, applying to what were collectively known as Industrial Provident Societies (IPS).
Henceforth, the IPS label no longer exists and is replaced by either Co-operatives (run for the benefit of their members) or Community Benefit Societies also known as Bencoms (run for the benefit of society).
The new Act has re-ordered the various requirements of the previous acts, modernising, simplifying and updating the language.
Other measures include:
- raising the limit on the amount of withdrawable share capital that a registered society may hold, and raising the limit on individual investments from £20,000 to £100,000
- allowing for the electronic submission of registration documents.