Local Government (Scotland) Act 1975

22 (1) Subject to the provisions of this Schedule, a local authority may establish [F1 any] of the following funds—

(a) a capital fund, to be used for defraying any expenditure of the authority to which capital is properly applicable, or in providing money for repayment of the principal of loans (but not any payment of interest on loans);

(b) a renewal and repair fund, to be used for the purpose of defraying expenditure to be incurred from time to time in repairing, maintaining, replacing and renewing any buildings, works, plant, equipment or articles belonging to the authority.

[F2 (c) a fund (to be known as a “DLO reserve fund”) to which there may be charged any deficit in, or into which there may be paid any surplus of—

(i) any DLO revenue account kept by the authority under section 10(1) of the Local Government, Planning and Land Act 1980;

(ii) any account kept by the authority under section 9(2) of the Local Government Act 1988.]

(2) A fund established by a local authority under this paragraph shall not be used to meet, directly or indirectly, any expenditure incurred by the authority for the purposes of a statutory undertaking of the authority, being a transport, district heating, harbour, dock, pier or ferry undertaking or a market or civic restaurant [F3 ; and if the renewal and repair fund is used so to meet expenditure incurred by the authority in relation to any house, or other property, to which their housing revenue account relates, the amount in question shall, subject to paragraph 1(7) of Schedule 4 to the M1 Housing (Financial Provisions) (Scotland) Act 1972, first to be carried to the credit of that account].

In this sub-paragraph, “pier” and “ferry” do not include a pier or ferry provided under section 2(2) of the M2 Local Government (Development and Finance) (Scotland) Act 1964.

(3) Notwithstanding anything in any enactment, pending the application of any such fund as aforesaid for the purposes authorised by this paragraph, the money in the fund shall (unless applied in any other manner authorised by any enactment) be advanced to the loans fund or invested in trustee securities.

(4) The provisions of this paragraph shall be in addition to and not in substitution for any other enactment authorising a local authority to establish a fund for a purpose for which a fund may be established under this paragraph; and a local authority may amalgamate any fund established by them under any other enactment with any corresponding fund established by them under this paragraph.

Textual Amendments

F1 Word substituted by Local Government Act 1988 (c. 9, SIF 81:1, 2), s. 32(1), Sch. 6 para. 11(2)(a)

F2 Sch. 3 para. 22(1)(c) inserted by Local Government Act 1988 (c. 9, SIF 81:1), s. 32(1) Sch. 6 para. 11(2)(b)

F3 Words inserted by Housing (Scotland) Act 1986 (c. 65, SIF 61), s. 17

Marginal Citations

M1 1972 c.46 (61).

M2 1964 c. 67.