C2C3C4C5C7C6C9C8C10C11C12Part 1Capital finance etc and accounts
Meaning of “local authority” in Pt. 1 modified (28.3.2008) by Bedfordshire (Structural Changes) Order 2008 (S.I. 2008/907), arts. 1, 20(7)(c)
Pt. 1 applied (15.1.2014) by Humber Bridge Act 2013 (c. vi), ss. 1(1), 8(4)
Pt. 1 applied in part (with modifications) by Police Reform and Social Responsibility Act 2011 (c. 13), Sch. 2 para. 7A(4)(7)(8), Sch. 4 para. 4A(4)(5) (as inserted (13.5.2014) by Anti-social Behaviour, Crime and Policing Act 2014 (c. 12), ss. 141(1)(2), 185(1))
Pt. 1 modified (25.5.2018) by The East Suffolk (Local Government Changes) Order 2018 (S.I. 2018/640), arts. 1, 17(2)(c)
Pt. 1 modified (25.5.2018) by The West Suffolk (Local Government Changes) Order 2018 (S.I. 2018/639), arts. 1, 17(2)(c)
Pt. 1 modified (26.5.2018) by The Somerset West and Taunton (Local Government Changes) Order 2018 (S.I. 2018/649), arts. 1, 17(2)(c)
Pt. 1 modified (26.5.2018) by The Bournemouth, Dorset and Poole (Structural Changes) Order 2018 (S.I. 2018/648), arts. 1, 21(2)(c), 36(2)(c)
Pt. 1 modified (23.5.2019) by The Buckinghamshire (Structural Changes) Order 2019 (S.I. 2019/957), arts. 1, 15(2)
Pt. 1 modified (14.2.2020) by The Northamptonshire (Structural Changes) Order 2020 (S.I. 2020/156), arts. 1, 17(2)(c)
Pt. 1 applied (18.3.2022) by The Cumbria (Structural Changes) Order 2022 (S.I. 2022/331), arts. 1(1), 18(2)(c)
Chapter 1Capital finance etc
Miscellaneous
I2I413Security for money borrowed etc
C11
Except as provided by subsection (3), a local authority may not mortgage or charge any of its property as security for money which it has borrowed or which it otherwise owes.
C12
Security given in breach of subsection (1) shall be unenforceable.
3
All money borrowed by a local authority (whether before or after the coming into force of this section), together with any interest on the money borrowed, shall be charged indifferently on all the revenues of the authority.
4
All securities created by a local authority shall rank equally without any priority.
5
The High Court may appoint a receiver on application by a person entitled to principal or interest due in respect of any borrowing by a local authority if the amount due remains unpaid for a period of two months after demand in writing.
6
The High Court may appoint a receiver under subsection (5) on such terms, and confer on him such powers, as it thinks fit.
7
The High Court may confer on a receiver appointed under subsection (5) any powers which the local authority has in relation to—
a
collecting, receiving or recovering the revenues of the local authority,
b
issuing levies or precepts, or
c
setting, collecting or recovering council tax.
8
No application under subsection (5) may be made unless the sum due in respect of the borrowing concerned amounts to not less than £10,000.
9
The Secretary of State may by order substitute a different sum for the one for the time being specified in subsection (8).
I1I314Information
A local authority shall supply the Secretary of State with such information relating to any of the matters dealt with in this Chapter, and at such time, as he may request.
Meaning of “local authority” in Pt. 1 modified (5.3.2008) by Cheshire (Structural Changes) Order 2008 (S.I. 2008/634), arts. 1, 9(9)(c)