Explanatory Note
Section 6(3) of the Local Government Act 1988 enables the Secretarty of State to require that an authority mentioned in section 1(1) of the Act (a defined authority) may only carry out functional work falling within an activity listed in section 2(2) of the Act (a defined activity) after subjecting the work to competition.
These Regulations require the defined authorities mentioned in article 1(2) to subject work falling within the activity of housing management to competition. The authorities are placed in one of five bands, and the proportion of work which has to be subjected to competition in any financial year is dependent upon the band in which the authority falls and for a limited period the amount of work, if any, which the authority has voluntarily subjected to competition.