Local Government Finance Act 1988

115 Authority’s duties as regards reports.E+W

(1)This section applies where copies of a report under section 114 above have been sent under section 114(4) above.

[F1(1A)Where the report under section 114 above is a report by the chief finance officer of the Greater London Authority, section 115A below shall have effect in place of subsections (2) and (3) below.]

[F2(1B)In the case of a report made by the chief finance officer of an elected local policing body, that body must consider the report and decide whether the body agrees or disagrees with the views contained in the report and what action (if any) the body proposes to take in consequence of it.

(1C)In the case of a report made by the chief finance officer of a chief officer of police, the chief officer of police must consider the report and decide whether the chief officer of police agrees or disagrees with the views contained in the report and what action (if any) the chief officer of police proposes to take in consequence of it.

(1D)The consideration and decision-making must be concluded not later than the end of the period of 21 days beginning with the day on which copies of the report are sent.

(1E)As soon as practicable after the elected local policing body, or the chief officer of police, has concluded the consideration of the chief finance officer's report, that body or chief officer must prepare a report which specifies—

(a)what action (if any) that body or chief officer has taken in response to the report;

(b)what action (if any) that body or chief officer proposes to take in response to the report; and

(c)the reasons for taking the action specified in the report or, as the case may be, for taking no action.

(1F)As soon as practicable after the elected local policing body has prepared a report under subsection (1E), the elected local policing body must arrange for a copy of the report to be sent to—

(a)the chief finance officer;

(b)the person who at the time the report is made has the duty to audit the elected local policing body's accounts; and

(c)each member of the police and crime panel for the police area for which the elected local policing body is established.

(1G)As soon as practicable after the chief officer of police has prepared a report under subsection (1E), the chief officer of police must arrange for a copy of the report to be sent to—

(a)the chief finance officer;

(b)the person who at the time the report is made has the duty to audit the chief officer's accounts; and

(c)the elected local policing body which maintains the police force in which the chief officer serves.]

(2)[F3In the case of any authority other than an elected local policing body or a chief officer of police,] The authority shall consider the report at a meeting where it shall decide whether it agrees or disagrees with the views contained in the report and what action (if any) it proposes to take in consequence of it.

(3)The meeting must be held not later than the end of the period of 21 days beginning with the day on which copies of the report are sent.

F4(3A). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4)Section 101 of the 1972 Act (delegation) shall not apply to the duty under subsection (2) above where the authority is one to which that section would apply apart from this subsection.

[F5(4A)In the case of F6... or Transport for London, [F7paragraph 7 of Schedule 10 to the 1999 Act (delegation by Transport for London) shall not] apply to the duty under subsection (2) above.]

(5)If the report was made under section 114(2) above, during the prohibition period the course of conduct which led to the report being made shall not be pursued.

(6)If the report was made under section 114(3) above, during the prohibition period the authority shall not enter into any new agreement which may involve the incurring of expenditure (at any time) by the authority [F8unless the chief finance officer of the authority authorises it to do so].

[F9(6A)The chief finance officer may only give authority for the purposes of subsection (6) above if he considers that the agreement concerned is likely to—

(a)prevent the situation that led him to make the report from getting worse,

(b)improve the situation, or

(c)prevent the situation from recurring.

(6B)Authority for the purposes of subsection (6) above shall—

(a)be in writing,

(b)identify the ground on which it is given, and

(c)explain the chief finance officer’s reasons for thinking that the ground applies.]

(7)If subsection (5) above is not complied with, and the authority makes any payment in the prohibition period as a result of the course of conduct being pursued, it shall be taken not to have had power to make the payment (notwithstanding any obligation to make it under contract or otherwise).

(8)If subsection (6) above is not complied with, the authority shall be taken not to have had power to enter into the agreement (notwithstanding any option to do so under contract or otherwise).

(9)In this section “the prohibition period” means the period—

(a)beginning with the day on which copies of the report are sent, and

(b)ending with the first business day to fall after the day (if any) on which the authority’s consideration of the report under subsection [F10(1B), (1C)] (2) above is concluded.

[F11(9A)In the application of this section where the report under section 114 above is a report by the chief finance officer of the Greater London Authority, subsection (9) above shall have effect with the substitution for paragraph (b) of—

“(b)ending with the first business day to fall after the day (if any) on which the Mayor makes the decisions under section 115A(6) below ”.]

(10)If subsection [F12(1B), (1C)] (3) above[F13, or, where section 115A below applies, subsection (4) or (8) of that section,] is not complied with, it is immaterial for the purposes of subsection (9)(b) above.

(11)The nature of the decisions made [F14under subsection (1B), (1C) or (2)] [F15, or, where section 115A below applies, by the Mayor under subsection (6) of that section,] is immaterial for the purposes of subsection (9)(b) above.

(12)In subsection (9)(b) above “business day” means any day other than a Saturday, a Sunday, Christmas Day, Good Friday or a day which is a bank holiday in England and Wales.

[F16(13)In the application of this section in relation to the Greater London Authority, the references to the authority in subsections (5) to (12) above shall be taken as references to the Greater London Authority whether acting by the Mayor, the Assembly or the Mayor and Assembly acting jointly.

(14)In this section—

  • “the Assembly” means the London Assembly;

  • [F17“the chief finance officer ” has the same meaning as in section 114;]

  • “the Mayor” means the Mayor of London.]

Textual Amendments

F1S. 115(1A) inserted (5.8.2000 for certain purposes and 3.7.2000 in so far as not already in force) by 1999 c. 29, s. 131(1)(2) (with Sch. 12 para. 9(1)); S.I. 1999/3434, arts. 3, 4

F5S. 115(4A) inserted (8.5.2000 for certain purposes and 3.7.2000 in so far as not already in force) by 1999 c. 29, s. 131(1)(4) (with Sch. 12 para. 9(1)); S.I. 1999/3434, art. 3, 4

F7Words in s. 115(4A) substituted (31.3.2012) by Localism Act 2011 (c. 20), s. 240(2), Sch. 20 para. 2(b); S.I. 2012/628, art. 4(c)

F8Words in s. 115(6) inserted (18.9.2003) by Local Government Act 2003 (c. 26), ss. 30(1), 128(1)(a)

F9S. 115(6A)(6B) inserted (18.9.2003) by Local Government Act 2003 (c. 26), ss. 30(2), 128(1)(a)

F11S. 115(9A) inserted (8.5.2000) for certain purposes (3.7.2000) in so far as not already in force by 1999 c. 29, s. 131(1)(5) (with Sch. 12 para. 9(1); S.I. 1999/3434, art. 3, 4

F13Words in s. 115(10) inserted (8.5.2000 for certain purposes and 3.7.2000 in so far as not already in force) by 1999 c. 29, s. 131(1)(6) (with Sch. 12 para. 9(1)); S.I. 1999/3434, arts. 3, 4

F15Words in s. 115(11) inserted (8.5.2000 for certain purposes and 3.7.2000 in so far as not already in force) by 1999 c. 29, s. 131(1)(7) (with Sch. 12 para. 9(1)); S.I. 1999/3434, arts. 3, 4

F16S. 115(13)(14) added (8.5.2000 for certain purposes 3.7.2000 in so far as not already in force) by 1999 c. 29, s. 131(1)(8) (with Sch. 12 para. 9(1)); S.I. 1999/3434, arts. 3, 4

F17Words in s. 115(14) inserted (18.9.2003) by Local Government Act 2003 (c. 26), ss. 30(3), 128(1)(a)

Modifications etc. (not altering text)

C1S. 115 applied (with modifications) (28.11.1994) by S.I. 1994/2825, reg. 37(1)

S. 115 applied (conditionally) (28.11.1994) by S.I. 1994/2825, reg. 36(6)

S. 115 amended (28.11.1994) by S.I. 1994/2825, reg. 36(7)

C2Ss. 114-116 applied (with modifications) (5.3.2008) by The Cheshire (Structural Changes) Order 2008 (S.I. 2008/634), arts. 1, 8(5)

C3Ss. 114-116 applied (with modifications) (28.3.2008) by The Bedfordshire (Structural Changes) Order 2008 (S.I. 2008/907), arts. 1, 17(5)