Citation, commencement and extent

1.—(1) These Regulations may be cited as the Unauthorised Co-ownership Alternative Investment Funds (Reserved Investor Fund) Regulations 2025.

(2) These Regulations come into force immediately after the Co-ownership Contractual Schemes (Tax) Regulations 2025 come into force.

(3) These Regulations extend to England and Wales, Scotland and Northern Ireland.

Interpretation

2. In these Regulations—

“the Act” means the Financial Services and Markets Act 2000(2);

“RIF” has the meaning given by section 20(1) (collective investment schemes: co-ownership schemes) of the Finance (No. 2) Act 2024(3);

Rights and liabilities of participants

3.—(1) The following provisions of the Act apply in connection with any unauthorised co-ownership AIF(4) that is a RIF, with the modifications specified in paragraph (2)—

(a)section 261M (contracts);

(b)section 261N (effect of becoming or ceasing to be a participant);

(c)section 261O (limited liability);

(d)section 261P(1) and (2) (segregated liability in relation to umbrella co-ownership schemes).

(2) The modifications are—

(a)any reference to a “stand-alone co-ownership scheme” is to be treated as a reference to a RIF that is not an umbrella co-ownership scheme (interpreted in accordance with sub-paragraph (b)).

(b)any reference to an “umbrella co-ownership scheme” is to be treated as a reference to a RIF that satisfies the conditions in section 237(6)(b) and (c) of the Act.

(c)any reference to a sub-scheme of an umbrella co-ownership scheme (interpreted in accordance with sub-paragraph (b)) is to be treated as arrangements constituting the scheme so far as they relate to a separate part of property.

(3) The provisions referred to in paragraph (1)(a) to (d), read with the modifications specified in paragraph (2), apply in connection with any unauthorised co-ownership AIF that—

(a)was previously a RIF,

(b)is currently not a RIF, and

(c)is UK-based (see paragraph (4)).

(4) For the purpose of paragraph (3)(c), an unauthorised co-ownership AIF will be “UK-based” if it meets the conditions set out in regulation 6 (a UK-based scheme) of the Co-ownership Contractual Schemes (Tax) Regulations 2025(5).