§ Mr. ButlerTo ask the Chancellor of the Exchequer how the transitional arrangements will be applied to those making a new investment in personal equity plans before 5 April.
§ Mr. Norman Lamont[holding answer 20 March 1989]: The transitional arrangements for PEPs are contained in the personal equity plan regulations 1989 laid before Parliament on 14 March. Plan managers will be able, if they wish, to operate on the basis of the improved provisions announced in the Budget from 6 April 1989, but where plan managers are unable to adapt their systems to apply the improvements by that time, they have until 31 December 1989 to do so. The new requirement that investment and unit trusts must have 75 per cent. of their investments in United Kingdom equities does not apply until 6 April 1990.