Local Government Act 1974

SCHEDULE 1 Termination or Modification of Certain Existing Grants

PART I Existing Rate Support Grants

1 The provisions of sections 1 to 5 of the [1966 c. 42.] Local Government Act 1966 (in this Part of this Schedule referred to as "the 1966 Act") shall not have effect with respect to any year beginning on or after 1st April 1974 but, subject to paragraph 2 below, nothing in this Act shall affect the continued operation of those provisions on or after that date in relation to any year ending before that date.

2 No order shall be made after 31st March 1974 under section 3 of the 1966 Act (power of Secretary of State to vary rate support grant orders).

3 Without prejudice to his powers under section 4 of this Act, if at any time during the year 1974-75 it appears to the Secretary of State that, but for the provisions of paragraph 2 above, he would have made an, order under section 3 of the 1966 Act increasing the amount fixed by the rate support grant order for the year 1973-74 as the aggregate amount of the rate support grants for that year, he may by an order made in lice manner and subject to the like provisions as a rate support grant order—

(a) increase the amount fixed by the rate support grant order for the year 1974-75 as the estimated aggregate amount of the rate support grants for that year by an amount equal to the increase for which he would have made provision in the order under section 3 of the 1966 Act; and

(b) make such increases in all or any of the elements of rate support grants for that year as appear to him to be appropriate in consequence of the increase in the estimated aggregate amount of those grants made by virtue of sub-paragraph (a) above.

4 Without prejudice to the generality of the power to make regulations under section 5 of the 1966 Act (for carrying into effect the provisions of sections 1 to 4 of, and Schedule 1 to, that Act) regulations under that section may make—

(a) such provision as the Secretary of State considers appropriate, having regard to paragraphs 1 and 2 above, to secure that any calculations or estimates for the time being treated by virtue of any such regulations as provisional are treated on and after 1st April 1974 as conclusive ; and

(b) such other incidental or consequential provisions, including provisions amending Part I of Schedule 1 to the 1966 Act, as the Secretary of State considers appropriate for, or in connection with, carrying the provisions of this Part of this Schedule into effect.

5 In this Part of this Schedule the expressions "rate support grants " and " rate support grant order " have, in relation to any year ending before 1st April 1974, the same meanings as in the 1966 Act.

PART II Existing Grants for Highways and Public Transport

6 Subject to paragraph 8 below, on and after 1st April 1975 the power of the Secretary of State—

(a) to make advances to a local highway authority under section 235(1) of the [1959 c. 25.] Highways Act 1959 (for the purposes of, or in connection with, highways, road-ferries and the provision of facilities associated with highways), and

(b) to make grants to a Passenger Transport Executive under section 20(8) of the [1968 c. 73.] Transport Act 1968 (towards expenditure incurred by the Executive for certain areas in pursuance of agreements with the Railways Board for the provision of railway passenger services), and

(c) to make grants to any person under section 56(1) of the Transport Act 1968 (towards capital expenditure incurred or to be incurred in the provision, improvement or development of facilities for public passenger transport),

shall cease to be exercisable except in cases where it appears to the Secretary of State that, notwithstanding the grants for which provision is made in Part I of this Act, the whole or any part of any expenditure in respect of which any such advances or grants as are referred to in paragraph (a), paragraph (b) or paragraph (c) above could be made should not fall on the local highway authority, Passenger Transport Executive or other person concerned.

7 No grants shall be paid under section 34(2) of the Transport Act 1968 (towards expenditure incurred by local authorities in making grants to provide assistance for rural bus or ferry services and in the provision of such ferry services) in respect of expenditure incurred in connection with the provision, improvement or continuance, after the end of the year 1974-75, of any bus service or ferry service, within the meaning of that Act.

8 (1) In any case where it appears to the Secretary of State—

(a) that any person other than a local authority, a Passenger Transport Executive or the London Transport Executive has before 1st April 1975 entered upon a course of expenditure of a capital nature such as is referred to in section 56(1) of the Transport Act 1968, and

(b) that the course of expenditure was entered upon in reliance on an undertaking by the Secretary of State to make a grant or grants towards that expenditure under that section,

then, notwithstanding anything in paragraph 6 above, the Secretary of State may, on or after 1st April 1975, make to that person under that section any grant which he considers appropriate in the light of that undertaking.

(2) In sub-paragraph (1)(a) above " local authority " includes the council of an administrative county, county borough or county district.

9 (1) In any case where it appears to the Secretary of State—

(a) that a Passenger Transport Executive or the London Transport Executive has before 1st April 1975 entered upon a course of expenditure of a capital nature such as is referred to in section 56(1) of the [1968 c. 73.] Transport Act 1968, and

(b) that the course of expenditure was entered upon in reliance on an undertaking by the Secretary of State to make a grant or grants towards that expenditure under that section,

the Secretary of State shall, as soon as practicable after 1st April 1975, give notice in writing to the appropriate local authority specifying the purpose of the expenditure, the Executive carrying it out and particulars of the grant or grants to which the undertaking relates, including the terms and conditions upon which the grant or grants were to be made and details of the amount or proportion thereof already paid at that date.

(2) An authority to whom a notice is given under sub-paragraph (1) above shall make to the Executive specified in the notice payments under subsection (2) of section 56 of the Transport Act 1968—

(a) corresponding in amount to the payments which, in accordance with the particulars specified in the notice, would have been made under the grant or grants concerned, and

(b) on terms and conditions corresponding, as near as may be, to those so specified,

and, in relation to the authority, expenditure for the purpose specified in die notice shall be conclusively presumed for the purposes of that subsection to be expenditure towards which payments may be made under that subsection.

(3) In sub-paragraph (1) above " the appropriate local authority ", in relation to a Passenger Transport Executive, means the county council which is the Passenger Transport Authority for the Executive's area and, in relation to the London Transport Executive, means the Greater London Council.

PART III Existing Grants for Other Specific Purposes

10 No grants shall be paid for the year 1974-75 or any subsequent year under—

(a) section 97 of the [1949 c. 97.] National Parks and Access to the Countryside Act 1949 (grants to local authorities in respect of expenditure on National Parks and areas of outstanding natural beauty) except in so far as that section provides for grants in respect of expenditure incurred in the exercise of powers under section 89(2) of that Act (derelict land) or of powers of acquiring land, whether by agreement or compulsorily, for the purpose of functions under that section ;

(b) section 98 of that Act (grants to local authorities in respect of expenditure on long-distance routes);

(c) section 9 of the [1966 c. 9.] Rating Act 1966 (grants to rating authorities in respect of rebates afforded by them under existing rate rebate schemes);

(d) section 8 or section 10 of the [1966 c. 42.] Local Government Act 1966 (grants to local authorities in respect of expenditure on public open spaces and port health and airport health functions); or

(e) section 33, section 34 or section 35 of the [1968 c. 41.] Countryside Act 1968 (grants to local authorities and other bodies in respect of expenditure on country parks, including the Lee Valley Regional Park, and the countryside).

11 (1) The Secretary of State may from time to time, by order made by statutory instrument, provide that, with effect from such year as may be specified in the order, no grant shall be paid under any such local authority grant provision as may be so specified or that no grant shall be so paid except in respect of expenditure of a description so specified.

(2) In this paragraph " local authority grant provision " means an enactment providing for the payment of grants to local authorities (within the meaning of the enactment concerned) in respect of expenditure incurred in connection with a specific function.

(3) An order under this paragraph may contain such provisions as appear to the Secretary of State to be necessary or proper in consequence of the termination of the grants, including provision amending, repealing or revoking, with or without savings, any enactment or instrument made under an enactment.

(4) No order under this paragraph shall have effect unless it is approved by a resolution of each House of Parliament.