(1)The Secretary of State shall for each financial year make to the Police Authority—
(a)a grant for police purposes; and
(b)a grant for general administrative purposes of the Authority.
(2)A grant under this section—
(a)shall be of such amount;
(b)shall be paid at such time, or in instalments of such amounts and at such times; and
(c)shall be made on such conditions,
as the Secretary of State may determine.
(3)A time determined under subsection (2)(b) may fall within or after the financial year concerned.
(4)Subject to subsections (5) and (6), the Police Authority may borrow, by way of temporary loan or overdraft from a bank or otherwise, any sum which it may temporarily require for the purpose of defraying expenses pending the receipt of moneys receivable by the Authority.
(5)The total amount outstanding on foot of borrowings under subsection (4) shall not at any time exceed such sum as the Secretary of State may specify to the Authority in writing.
(6)Any sum borrowed under subsection (4) shall be repaid before the end of the financial year in which it is borrowed.
(7)The Police Authority may, with the prior consent of the Secretary of State, borrow or raise money on such terms and subject to such conditions as the Secretary of State may approve upon the security of any property or assets of the Authority for all or any of the following purposes—
(a)meeting expenses incurred in connection with any permanent work the cost of which is properly chargeable to capital;
(b)redeeming any loan previously borrowed or raised under this section; or
(c)any other purpose for which capital moneys may properly be applied.