Co-operative and Community Benefit Societies Act 2014

The law governing co-operative and community benefit societies changed on 1 August 2014. Here are the key changes:

  • The main governing Act, the Industrial & Provident Societies Act 1965 was replaced by the Co-operative and Community Benefit Societies Act 2014.
  • Other secondary pieces of legislation relating to societies have been consolidated by the new Act.
  • Societies now register as either a co-operative or as a community benefit society. Societies registered prior to 1 August 2014 are known as 'registered societies' or 'pre-commencement societies'.
  • Governing document permitting, individual members can now invest up to £100,000 via withdrawable share capital.
  • Company insolvency procedures now apply to societies.
  • Company Directors' disqualification procedures now apply to societies.
  • New rules apply to how a society may refer to its registered status on society documentation.
  • Sponsoring bodies, including Co-operatives UK, have updated their model governing documents for societies.

Co-operatives UK has produced a guide to the key legislative changes. Our Q&A summary will help societies get to grips with what the changes mean for them.

 

How can you comply with the new Act?