Part 1Capital finance etc and accounts

Chapter 1Capital finance etc

Borrowing

I23Duty to determine affordable borrowing limit

I31

A local authority shall determine and keep under review how much money it can afford to borrow.

I32

In the case of the following authorities, namely—

a

the Greater London Authority, and

b

a functional body,

the Mayor shall determine and keep under review how much money the authority can afford to borrow.

I33

Before making any determination under subsection (2), the Mayor shall consult the London Assembly.

I34

Before making a determination under subsection (2) for a functional body, the Mayor shall consult that body.

I15

The Secretary of State may by regulations make provision about the performance of the duty under subsection (1) or (2).

I16

Regulations under subsection (5) may, in particular—

a

make provision about—

i

when a determination under subsection (1) or (2) is to be made,

ii

how such a determination is to be made, and

iii

the period for which such a determination is to be made;

b

make provision about the monitoring of an amount determined under subsection (1) or (2);

c

make provision about factors to which regard may be had in making a determination under subsection (1) or (2) or in monitoring an amount determined under that subsection.

I17

Regulations under subsection (5) may include provision requiring a person making a determination under subsection (1) or (2) to have regard to one or more specified codes of practice, whether issued by the Secretary of State or another.

I38

A local authority’s function under subsection (1) shall be discharged only by the authority.

I39

Section 38(1) of the Greater London Authority Act 1999 (c. 29) (delegation by Mayor) does not apply in relation to functions under subsection (2).

I110

The power under subsection (7) is not to be read as limited to the specification of an existing document.

I311

In this section—

  • “functional body” has the same meaning as in the Greater London Authority Act 1999 (c. 29);

  • “local authority” does not include the Greater London Authority or a functional body;

  • “Mayor” means Mayor of London.