Industry Act 1980

5 Financial limits. U.K.

(1) In. . . F1 , section 13(3) of the Scottish Development Agency Act 1975 and section 18(3) of the Welsh Development Agency Act 1975 (which set limits on the amounts outstanding in respect of certain borrowings and other liabilities of. . . F1 the Scottish and Welsh Development Agencies and their subsidiaries, but enable the Secretary of State to raise the limits) the words from “but” to the end shall cease to have effect.

(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F2

(3 )F3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5 )F3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) Subject to subsection (7) below, the aggregate of—

(a) any sums paid by the Secretary of State under this Act in respect of the acquisition of shares in any company which before or immediately after the acquisition was a company to which section 3 of this Act applied,

(b) the amounts outstanding, otherwise than by way of interest, in respect of the general external borrowing of companies to which that section applies, and

(c) any sums paid by the Secretary of State to meet guarantees given under subsection (2)(c) of that section, to the extent that they have not been repaid,

shall not exceed the amount which is for the time being the financial limit for the purposes of that section.

(7) The sums paid by the Secretary of State under this Act in respect of the acquisition from the National Enterprise Board of shares in any company shall be treated for the purposes of subsection (6) above as reduced by an amount equal to so much of the debt of the Board assumed under paragraph 6(1) of Schedule 2 to the M1 Industry Act 1975 on their acquisition of securities of the company as was, immediately before section 3 of this Act applied to the company, treated by virtue of paragraph 5(2) of that Schedule as part of the Board’s public dividend capital.

(8) For the purposes of subsection (6)(b) above, the general external borrowing of a company is the aggregate of—

(a) sums borrowed by the company otherwise than from any subsidiary of the company, and

(b) sums borrowed by such a subsidiary otherwise than from the company or another such subsidiary.

Textual Amendments

F1 Words repealed by Industry Act 1981 (c. 6, SIF 64), Sch.

F2 S. 5(2) repealed by Industry Act 1981 (c. 6, SIF 64), s. 7(3), Sch.

F3 s. 5(3)(5) repealed (6.1.1992) by British Technology Group Act 1991 (c. 66, SIF 64), s. 17(2), Sch. 2 Pt.I; S.I. 1991/2721, art.2

Modifications etc. (not altering text)

C1 S. 5(1) repealed (1.4.1991) (E.W.S) in so far as relating to the Scottish Development Agency Act 1975 or to the Scottish Development Agency, by Enterprise and New Towns (Scotland) Act 1990 (c. 35, SIF 64), s. 38(2), Sch. 5 Pt. I

C2 The text of ss. 1, 4, 5(1), 6, 8(2), 9, and Schedule 2 is in the form in which it was originally enacted: it was not reproduced in Statutes in Force and, except as specified, does not reflect any amendments or repeals prior to 1.2.1991.

Marginal Citations

M1 1975 c. 68.