(1)For the purpose of enabling a development corporation—
(a)to meet expenditure properly chargeable to capital account (including the provision of working capital), or
(b)to make good to revenue account sums applied in meeting liabilities so chargeable,
the Secretary of State may (subject to section 60 below) make to the corporation advances repayable over such periods [F1, carrying interest at such rates and on such other terms] as may be approved by the Treasury.
(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F2
(3)It shall be a condition of the making of advances to a development corporation under subsection (1) above that the proposals for development submitted to the Secretary of State under section 7 above shall be approved by the Secretary of State with the Treasury’s concurrence as being likely to secure for the corporation a return which is reasonable, having regard to all the circumstances, when compared with the cost of carrying out those proposals.
(4). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F2
(5)For the purpose of enabling the Commission—
(a)to meet liabilities properly chargeable to capital account (including the provision of working capital), or
(b)to make good to revenue account sums applied in meeting liabilities so chargeable,
the Secretary of State may (subject to section 60) make to the Commission advances repayable over such period [F3, carrying interest at such rates and on such other terms] as may be approved by the Treasury.
(6)The Secretary of State may also advance to the Commission any sums required by them to meet a deficit on revenue account, and any such advance shall be repayable over such period and shall [F4carry interest at such rates and be made on such other terms] as may be approved by the Treasury; but the sum of the amounts outstanding at any time in respect of the principal of the sums advanced—
(a)before the commencement of the M1New Towns Act 1965, under section 3(2) of the M2New Towns Act 1959,
(b)before the commencement of this Act, under section 42(5) of the New Towns Act 1965, and
(c)after the commencement of this Act, under this subsection (which corresponds to those subsections),
shall not exceed £1,000,000.
Textual Amendments
F1Words substituted by New Towns and Urban Development Corporations Act 1985 (c. 5, SIF 123:3, 4), s. 14(1), Sch. 3 para. 8
F2S. 58(2)(4) repealed by New Towns and Urban Development Corporations Act 1985 (c. 5, SIF 123:3, 4), s. 14(2), Sch. 4
F3Words substituted by New Towns and Urban Development Corporations Act 1985 (c. 5, SIF 123:3, 4), s. 14(1), Sch. 3 para. 8(a)
F4Words substituted by the New Towns and Urban Development Corporations Act 1985 (c. 5, SIF 123:3, 4), s. 14(1), Sch. 3 para. 8(b)
Marginal Citations