[5] The Act is divided into six parts, forty-three sections and four schedules, and focuses upon five specific areas of law.

Section 1 defines this duty, which is that a trustee, must exercise such care and skill as is reasonable in the circumstances, having regard in particular - This test has both an objective and subjective element.

In Speight v Gaunt, Lord Blackburn said that "as a general rule a trustee sufficiently discharges his duty if he takes in managing trust affairs all those precautions which an ordinary prudent man of business would take in managing similar affairs of his own", similar to an objective test.

[16] If the trust instrument was created prior to 3 August 1961, however, its provisions regarding investments are treated as void.

These criteria are defined in Section 4(3) as the need to check the suitability of investments for the trust, and the importance of diversification.

[18] In Cowan v Scargill [1985] Ch 270 Megarry VC suggested that trustees have an overriding duty to invest solely in the financial interests of beneficiaries, unless the trust instrument laid down otherwise.

So even though the National Union of Mineworkers' leader, Arthur Scargill, wanted the mineworkers' pensions to be reinvested in the British Coal industry and keep jobs, the court held that because this would make less money than other investments it would be a breach of trust.

Subsequent case law has qualified this controversial principle, such as Harries v The Church Commissioners for England [1992] 1 WLR 1241, and it is a point of ongoing debate.

[20] Under Section 5, trustees are required to obtain "proper advice" before investing, unless the circumstances mean that it is inappropriate or unnecessary to do so.

[17] Under Section 8 of the Act, trustees can purchase land "as an investment, for occupation by the beneficiaries or for any other reason".

[21] This is a default provision, and can be made irrelevant if the trust instrument contains other rules and requirements.

Section 15(1) makes it mandatory to write and sign a policy agreement, which lays out guidance on how a function should be undertaken.

Section 21 identifies that review and liability occurs when the trustees appoints agents, nominees and custodians under the Act or under similar provisions in the trust instrument.

[29] Section 29 goes on to say that non-charitable professional trustees are entitled to "reasonable remuneration" which will be a sum that the court thinks is commensurate with the work done, along the principles of quantum meruit.

[31] Section 30 stipulates that rules on charitable trustee remuneration are to be found in a statutory instrument drawn up by the Secretary of State.