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- Point in Time (01/02/2001)
- Original (As enacted)
Version Superseded: 24/07/2005
Point in time view as at 01/02/2001.
Railways Act 1993, Cross Heading: Passenger Transport Authorities and Executives is up to date with all changes known to be in force on or before 05 December 2024. There are changes that may be brought into force at a future date. Changes that have been made appear in the content and are referenced with annotations.
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Textual Amendments
F1S. 32 repealed (1.2.2001) by 2000 c. 38, s. 274, Sch. 31 Pt. IV; S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
Textual Amendments
F2S. 33 repealed (1.2.2001) by 2000 c. 38, s. 274, Sch. 31 Pt. IV; S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
(1)The fact that any services for the carriage of passengers by railway are, or are to be, provided by the [F3Authority] or a wholly owned subsidiary of the Board under a section 20(2) agreement does not preclude the designation of those services under section 23(1) above F4. . ..
(2)Subsection (1) above does not affect the continuing validity of any section 20(2) agreement and, accordingly, no services provided, or to be provided, under such an agreement shall begin to be provided under a franchise agreement until such time as the section 20(2) agreement in question has terminated.
(3)Subject to section 35(7) below, a Passenger Transport Executive shall continue to have power to enter into section 20(2) agreements with the [F3Authority] or any wholly owned subsidiary of the Board for the provision of services for the carriage of passengers by railway until such time as the services in question first begin to be provided under a franchise agreement; and, accordingly, once the services first begin to be so provided, the Executive in question shall cease to have power to enter into a section 20(2) agreement for the provision of those services.
(4)The [F5Authority]—
(a)before issuing an invitation to tender under section 26 above in respect of any services for the carriage of passengers by railway within the passenger transport area of a Passenger Transport Executive, or
(b)in a case where the Secretary of State has given a direction under section 26(1) above which has effect in relation to any such services, before entering into a franchise agreement in respect of any of those services,
shall comply with the requirements imposed upon [F5the Authority] by subsection (5) below.
(5)The requirements mentioned in subsection (4) above are that the [F6Authority] must give notice to the Passenger Transport Executive for the area in question—
(a)of [F6the Authority’s,]intentions with respect to the inclusion, in any franchise agreement contemplated by that subsection, of provisions relating to the operation of any additional railway assets wholly or partly within the area in question, and
(b)of [F6the Authority’s,] intention—
(i)in a case falling within paragraph (a) of that subsection, to issue the invitation to tender, or
(ii)in a case falling within paragraph (b) of that subsection, to enter into the franchise agreement,
and must, in either of the cases mentioned in paragraph (b) above, consult that Executive, which may, before the expiration of the period of 60 days immediately following the date specified in that notice as its date of issue, submit to [F6the Authority] a statement under this subsection.
(6)A statement under subsection (5) above—
(a)shall specify the services for the carriage of passengers by railway which the Passenger Transport Authority for the area in question considers it appropriate to secure to meet any public transport requirements within that area, so far as relating to the provision of services of the same description as those in respect of which the [F7Authority] proposes—
(i)to issue the invitation to tender mentioned in paragraph (b)(i) of that subsection, or
(ii)to enter into the franchise agreement mentioned in paragraph (b)(ii) of that subsection,
as the case may be;
(b)may specify the minimum level of quality to which any services so specified are to be provided;
(c)may (subject to section 28(3) above) specify requirements with respect to the fares to be charged to persons using any services so specified; and
(d)may specify the minimum level of quality with respect to the operation of any station (but not any other additional railway asset) which may be required by any such franchise agreement as is mentioned in subsection (5)(a) above.
(7)A Passenger Transport Executive which has submitted a statement under subsection (5) above to the Franchising Director may from time to time amend that statement by giving notice of the amendments to the [F7Authority]; and where any such statement is so amended, any reference in this section to the statement submitted under subsection (5) above shall be taken as a reference to that statement as for the time being amended.
(8)Where a Passenger Transport Executive has submitted a statement under subsection (5) above to the [F8Authority], the [F8Authority] shall ensure that the services, and any minimum levels of quality or requirements with respect to fares, specified in that statement—
(a)in a case falling within paragraph (a) of subsection (4) above, are included in the specification of the services in respect of which the invitation to tender is issued; or
(b)in a case falling within paragraph (b) of that subsection, are provided for in any franchise agreement into which [F8the Authority] may enter in respect of the services mentioned in that paragraph.
[F9(8A)The Authority shall not do anything under subsection (8) above if or to the extent that to do it would prevent or seriously hinder the Authority—
(a)from complying with any directions given to it by the Secretary of State under section 207(5) of the Transport Act 2000 or from having regard to any guidance so given;
(b)from complying with any directions given to it by the Scottish Ministers under section 208 of that Act with which it must comply or from having regard to any guidance so given to which it must have regard; or
(c)from exercising any of its functions in a manner which is consistent with its financial framework.
(8B)The Authority need not do anything under subsection (8) above if or to the extent that to do it would have an adverse effect on the provision of services for the carriage of passengers or goods by railway (whether inside or outside the Passenger Transport Executive’s passenger transport area).
(8C)The Authority need not do anything under subsection (8) above if or to the extent that to do it would increase the amount of any expenditure of the Authority under agreements or other arrangements entered into (in accordance with a franchise agreement) with—
(a)the franchise operator;
(b)the franchisee; or
(c)any servant, agent or independent contractor of the franchise operator or franchisee.]
(9)A Passenger Transport Executive shall be a party to any franchise agreement which relates, whether in whole or in part, to the provision, within the Executive’s passenger transport area, of services specified in a statement under subsection (5) above.
(10)The [F10Authority] and any Passenger Transport Executive may enter into agreements with each other as to the terms on which franchise agreements to which the Executive is a party are to be entered into.
(11)Before entering into a franchise agreement, a Passenger Transport Executive for a passenger transport area shall submit to the Passenger Transport Authority for that area, and obtain that Passenger Transport Authority’s approval of, the proposed franchise agreement.
(12)It shall be the duty of every Passenger Transport Authority and every Passenger Transport Executive to facilitate the attainment by the [F10Authority] of the objective of securing expeditiously that franchise agreements are entered into in respect of any services for the carriage of passengers by railway within their passenger transport area—
(a)which are for the time being the subject of section 20(2) agreements; but
(b)which are designated under section 23(1) above F4. . ..
(13)In any case where —
(a)any services (“the PTA services") are included, in consequence of a statement under subsection (5) above, among those which are to be provided under a franchise agreement or a franchise agreement requires the operation of any additional railway assets as mentioned in paragraph (a) of that subsection,
(b)the franchise agreement does not make provision for the Passenger Transport Executive for the area in question to make payments to the franchisee or the franchise operator in respect of the provision of the PTA services or the operation of the additional railway assets, and
(c)payments by way of grant in respect of the provision of the PTA services or the operation of the additional railway assets fall to be made by the [F10Authority] pursuant to conditions contained in the franchise agreement by virtue of section 29(1)(b) above,
the Passenger Transport Executive shall pay to the [F10Authority], at or before the time at which any such payment as is mentioned in paragraph (c) above is made, a sum equal to the amount of that payment.
(14)Where, pursuant to section 30 above, the [F11Authority] is under a duty to secure the provision of any services for the carriage of passengers by railway, F4. . . within the passenger transport area of a Passenger Transport Executive, the Executive—
(a)shall have power to enter into agreements with the [F11the Authority] with respect to the securing by [F11the Authority] of—
(i)the provision of any of the services in question, or
(ii)the operation of any F4. . . additional railway assets F4. . .,
until such time as they are again provided under a franchise agreement;
(b)shall make to the [F11the Authority] in respect of—
(i)the provision of any of the services in question whose provision [F11the Authority] secures pursuant to section 30 above, and
(ii)the operation of any F4. . . additional railway assets F4. . . whose operation [F11the Authority]secures pursuant to section 30 above,
payments of such amounts, and at such times, as may be agreed between the Executive and the [F11the Authority] or, in default of agreement, of such amounts and at such times as the Secretary of State may direct; F12. . .
F12(c). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(15)Without prejudice to the generality of the provisions which may be included in any agreement made between the [F13Authority] and a Passenger Transport Executive under paragraph (a) of subsection (14) above, such an agreement may, in particular, contain provisions concerning—
(a)the services for the carriage of passengers by railway which the Passenger Transport Authority for the passenger transport area in question considers it appropriate to secure to meet any public transport requirements within that area,
(b)the minimum level of quality to which any such services are to be provided,
(c)the fares to be charged to persons using any such services, or
(d)the minimum level of quality to which the operation of any station (but not of any other additional railway asset) is to be secured under sub-paragraph (ii) of that paragraph.
(16)The Secretary of State shall not direct a Passenger Transport Executive to make any payment under subsection (14)(b) above, except in respect of—
(a)any service—
(i)which is provided under an agreement entered into by the [F14Authority] pursuant to his duty under section 30 above, and
(ii)which under the terms of that agreement is required to involve calls at more than one station within the passenger transport area of the Executive, or
(b)any additional railway asset which is operated under an agreement entered into by the [F14Authority]. . .,
“call” meaning for this purpose any stop at a station for the purpose of allowing passengers to board or leave the train (including the stops at the stations at the beginning and end of any journey to which the service relates).
(17)If any dispute arises between the [F15Authority] and a Passenger Transport Executive in connection with—
(a)a proposal by the [F15Authority] to issue an invitation to tender, or to enter into a franchise agreement, in respect of services for the carriage of passengers by railway within the passenger transport area of that Executive, or
(b)any franchise agreement which has been entered into in respect of any such services, or in respect of any such services and any additional railway asset,
either of them may refer the dispute to the Secretary of State for determination and on any such reference the Secretary of State may give to the [F15Authority] or the Passenger Transport Executive such directions [F16with respect to the proposal or franchise agreement] as he may think fit.
(18)Without prejudice to subsection (17) above—
(a)if the [F17Authority] considers it desirable to do so for the purpose of securing expeditiously that a franchise agreement is entered into in respect of services for the carriage of passengers by railway within the passenger transport area of a Passenger Transport Executive, [F17the Authority may apply] to the Secretary of State for directions under this subsection; or
(b)if a Passenger Transport Executive for any passenger transport area considers it desirable to do so for the purpose of securing expeditiously that a franchise agreement is entered into in respect of services for the carriage of passengers by railway within that passenger transport area, the Executive may apply to the Secretary of State for directions under this subsection;
and on any such application, the Secretary of State may give for that purpose such directions as he may think fit to the [F17Authority] or the Executive.
(19)Without prejudice to the generality of the directions that may be given under subsection (17) or (18) above, but subject to subsection (20) below, the Secretary of State may, in particular, give a direction under either of those subsections—
(a)requiring the [F18Authority] or the Executive to enter into a franchise agreement on such terms as may be specified in the direction;
(b)providing that any one or more of subsections (4) to (11) and (13) above, or any part of any of those subsections, shall not have effect with respect to a franchise agreement; or
(c)requiring the Executive to make payments in respect of—
(i)the provision under a franchise agreement of services for the carriage of passengers by railway within their passenger transport area, whether or not the inclusion of those services among the services which are to be provided under the franchise agreement is in consequence of a statement submitted under subsection (5) above by the Executive and whether or not the Executive is a party to the franchise agreement; or
(ii)the operation under or by virtue of a franchise agreement of additional railway assets wholly or partly within their passenger transport area, whether or not the Executive is a party to the franchise agreement;
and, without prejudice to any other provision of this Act, any reference in paragraph (b) or (c) above to a franchise agreement includes a reference to a proposed franchise agreement.
(20)The Secretary of State shall not give a direction under subsection (19)(c) above requiring a Passenger Transport Executive to make payments in respect of the provision under a franchise agreement of services for the carriage of passengers by railway, or the operation under or by virtue of a franchise agreement of additional railway assets, except in respect of—
(a)such of those services as are required by the terms of the franchise agreement—
(i)to be provided during the relevant period in the case of that direction, and
(ii)to involve calls at more than one station within the passenger transport area of the Executive, or
(b)such of those additional railway assets as are required by or under the terms of the franchise agreement to be operated during the relevant period in the case of that direction,
“call" having the same meaning in this subsection as it has in subsection (16) above.
(21)For the purposes of subsection (20) above, the “relevant period", in the case of any direction, is the period which is made up of—
(a)the financial year in which the direction is given,
(b)the financial year immediately preceding that in which the direction is given, and
(c)the financial year immediately following that in which the direction is given,
“financial year” meaning for this purpose the period of twelve months ending with 31st March.
(22)In this section—
“public transport requirements” has the same meaning as it has in the M1Transport Act 1968;
“section 20(2) agreement” [F19means an agreement made between the Authority and a Passenger Transport Executive pursuant to section 20(2)(b) of the M2Transport Act 1968.].
F20(23). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F3Words in s. 34(1)(3) substituted (1.2.2001) by 2000 c. 38, s. 252, Sch. 27 para. 25(2); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
F4Words in s. 34(1)(12)(14) repealed (1.2.2001) by 2000 c. 38, s. 274, Sch. 31 Pt. IV; S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
F5Words in s. 34(2) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(2); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F6Words in s. 34(5) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(3); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F7Words in s. 34(6)(7) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(4); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F8Words in s. 34(8) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(5); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F9S. 34(8A)-(8C) inserted (1.2.2001) by 2000 c. 38, s. 246(2); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
F10Words in s. 34(10)(11)(13) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(6); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F11Words in s. 34(14) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(7); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F12Words in s. 34(14)(c) and word “but" preceding it repealed (1.2.2001) by 2000 c. 38, s. 274, Sch. 31 Pt. IV; S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
F13Words in s. 34(15) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(8); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F14Words in s. 34(16) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(9)(a); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F15Words in s. 34(17) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(10); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F16Words in s. 34(17) substituted (1.2.2001) by 2000 c. 38, s. 246(3); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
F17Words in s. 34(18) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(11); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F18Words in s. 34(19) substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 20(12); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F19S. 34(22): words in definition of
“section 20(2) agreement”
substituted (1.2.2001) by 2000 c. 38, s. 252, Sch. 27 para. 25(3); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
F20S. 34(23) repealed (1.2.2001) by 2000 c. 38, s. 274, Sch. 31 Pt. IV; S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
Modifications etc. (not altering text)
C1S. 34: certain functions transferred (S.) (28.11.2005) by The Transfer of Rail Functions To The Scottish Ministers Order 2005 (S.S.I. 2005/598), art. 3, Sch. 1 (with savings in art. 5 and consequential modifications in Sch. 2)
Marginal Citations
(1)This section applies in any case where services for the time being provided under a section 20(2) agreement by the [F22Authority]or a wholly owned subsidiary of the [F22Authority] have been designated under section 23(1) above F23. . ..
(2)If, in a case where this section applies, a franchise agreement is entered into in respect of all the services for the time being provided under the section 20(2) agreement, the [F21Authority] shall serve a notice on the parties to the section 20(2) agreement terminating that agreement on such date (“the termination date") as may be specified in the notice.
(3)Where notice is served under subsection (2) above, the parties to the section 20(2) agreement—
(a)shall be taken to have agreed to terminate that agreement on the termination date, and
(b)shall accordingly be released from the performance of their obligations under that agreement after that date,
and the section 20(2) agreement shall not have effect after the termination date, except so far as relating to anything done, or required to be done, pursuant to the agreement on or before that date.
(4)If, in a case where this section applies, a franchise agreement is entered into in respect of some, but not all, of the services for the time being provided under the section 20(2) agreement, the [F21Authority] may serve a notice on the parties to the section 20(2) agreement varying the terms of that agreement.
(5)Where notice is served under subsection (4) above—
(a)the parties to the section 20(2) agreement shall be taken to have agreed to a variation of the section 20(2) agreement such that the services to be provided under the franchise agreement shall, after such date as may be specified in the notice, no longer be provided under the section 20(2) agreement; and
(b)the section 20(2) agreement shall have effect with such further modifications which are necessary to give effect to, or are consequential on, the variation referred to in paragraph (a) above as the parties may agree or, in default of agreement, as may be determined on a reference to arbitration.
(6)For the purposes of subsection (5)(b) above—
(a)either party to the section 20(2) agreement may refer the matter in dispute to arbitration after giving the other not less than fourteen days’ notice of his intention to do so; and
(b)if the parties are unable to agree on the appointment of a person as the arbitrator, either of them, after giving the other not less than fourteen days’ notice of his intention to do so, may by notice request the [F21Authority] to appoint a person as the arbitrator.
(7)Where a section 20(2) agreement is terminated or varied by virtue of this section, the Passenger Transport Executive in question shall not have power to enter into another such agreement for the provision of the services which are to be provided under the franchise agreement referred to in subsection (2) or (4) above (as the case may be) without the consent of the [F21Authority].
(8)Where a section 20(2) agreement has been entered into, but services have not begun to be provided under it, this section shall have effect in relation to the services which are to be provided as it has effect in relation to services for the time being provided under a section 20(2) agreement.
(9)Any reference in this section to an arbitrator shall, in Scotland, be taken as a reference to an arbiter.
(10)In this section, “section 20(2) agreement” has the same meaning as it has in [F24section 34] above.
Textual Amendments
F21Words in s. 35 and sidenote substituted (1.2.2001) by 2000 c. 38, s. 215, Sch. 16 para. 21; S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II) (which S.I. was amended by S.I. 2001/115, art. 2(2))
F22Words in s. 35(1) substituted (1.2.2001) by 2000 c. 38, s. 252, Sch. 27 para. 26(2); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
F23Words in s. 35(1) repealed (1.2.2001) by 2000 c. 38, s. 274, Sch. 31 Pt. IV; S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
F24Words in s. 35(10) substituted (1.2.2001) by 2000 c. 38, s. 252, Sch. 27 para. 26(3); S.I. 2001/57, art. 3(1), Sch. 2 Pt. I (subject to savings and transitional provisions in Sch. 2 Pt. II)
Modifications etc. (not altering text)
(1)In section 10 of the M3Transport Act 1968, in subsection (1) (which specifies the powers of Passenger Transport Executives) after paragraph (vi) there shall be inserted—
“(via) with the approval of the Authority, to enter into and carry out agreements with any person who is the operator of, or who has an estate or interest in, or right over, a network, station or light maintenance depot or some part of a network, station or light maintenance depot, in connection with the building, replacement, redevelopment, refurbishment, repair, maintenance, operation or staffing of the network, station or light maintenance depot or any part thereof;”.
(2)After paragraph (viii) of that subsection there shall be inserted—
“(viiia)to let locomotives and other rolling stock on hire to any person who is (within the meaning of Part I of the Railways Act 1993) the franchisee or the franchise operator under a franchise agreement to which the Executive is a party;
(viiib)to let locomotives and other rolling stock on hire to a person not falling within paragraph (viiia) above—
(a)for or in connection with the provision of railway passenger services within that area or within the permitted distance; or
(b)with the written consent of the Secretary of State, for or in connection with the provision of railway passenger services outside that area and beyond the permitted distance;
(viiic)with the approval of the Authority, to enter into and carry out agreements with the owner of any locomotive or other rolling stock concerning the persons to whom, or the terms on which, the locomotive or other rolling stock may be let on hire;”.
(3)In section 20(2) of that Act, in paragraph (a) (duty of Passenger Transport Executive to keep under review the railway passenger services provided by the Railways Board for meeting the needs of persons travelling between places in the Executive’s passenger transport area etc) for the words “by the Railways Board" there shall be substituted the words “ by passenger service operators (within the meaning of Part I of the Railways Act 1993) ”.
(4)After section 23 of that Act there shall be inserted—
(1)For the purposes of sections 10, 15 and 20 of this Act—
(a)“light maintenance depot”, “locomotive”, “network”, “railway passenger services”, “rolling stock” and “station” have the meaning given in section 83(1) of the Railways Act 1993; and
(b)“operator” has the meaning given in section 6(2) of that Act.
(2)For the purposes of sections 10(1)(vi), 15(1)(d) and 20(2)(b), (4) and (6) of this Act “wholly-owned subsidiary” has the meaning given by section 736 of the M4Companies Act 1985.”.
(5)In section 159(1) of that Act (general interpretation), in the definition of “subsidiary" and “wholly-owned subsidiary", for the words “subject to section 51(5)" there shall be substituted the words “ subject to sections 23A(2) and 51(5) ”.
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