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(1)Subject to the provisions of this section, a local authority (a “contracting authority”) may agree with any other local authority (a “supplying authority”) that the supplying authority shall carry out for the contracting authority any activity or service which the contracting authority are required to, or may legitimately, carry out.
(2)An agreement under this section—
(a)may provide for activities or services to be carried out by two or more authorities jointly; and
(b)may include such terms as to payment as the authorities concerned consider appropriate.
(3)Anything requiring to be done by a supplying authority under an agreement under this section shall be treated as one of their statutory functions.
(4)The Secretary of State may by regulations make such provision as he thinks fit in relation to the exercise by local authorities of the power conferred by this section and, without prejudice to the generality of the foregoing, such regulations may include provision—
(a)prohibiting or restricting to such extent as may be prescribed the use of the power in relation to such activities or services, or such class or classes of activities or services, as may be so prescribed;
(b)specifying, either generally or in relation to such activities or services, or such classes of activities or services, as may be so prescribed, which authorities may enter into agreements under this section.
(5)This section is without prejudice to any other power under or by virtue of which a local authority may arrange for the carrying out of any of their activities or services by another authority.
(6)A statutory instrument containing regulations under this section shall be subject to annulment in pursuance of a resolution of either House of Parliament.
(7)For the purposes of this section “local authority” includes a residuary body and a joint board.
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