Summary
The Trustee Act 2000 modernised the powers and duties of trustees in England and Wales. It introduced a statutory duty of care, widened trustees' investment powers, permitted delegation to agents, nominees, and custodians, and allowed trustees to insure trust property. It applies to most express trusts unless excluded by the trust instrument.
Key Points
- Statutory duty of care: skill and care reasonable in the circumstances (s.1, Sch.1)
- General power of investment — as if absolutely entitled to trust assets (s.3)
- Duty to have regard to standard investment criteria (s.4)
- Duty to obtain and consider proper advice on investments (s.5)
- Power to acquire freehold or leasehold land (s.8)
- Power to delegate to agents, nominees, and custodians (Part IV)
- Power to insure trust property (s.34)