Part 12Entities controlled etc by local authorities

I1212Entities controlled etc by local authorities

1

An order under this section is an order which requires, prohibits or regulates the taking of specified actions by entities connected with a local authority.

2

The Secretary of State may make an order under this section in relation to—

a

all English local authorities;

b

English local authorities of particular descriptions;

c

particular English local authorities.

3

The Welsh Ministers may make an order under this section in relation to—

a

all Welsh local authorities;

b

Welsh local authorities of particular descriptions;

c

particular Welsh local authorities.

4

An order under this section may also include provision which requires, prohibits or regulates—

a

the taking of specified actions by a local authority in relation to entities connected with the local authority;

b

the taking of specified actions by members or officers of a local authority who are qualifying persons.

5

An order under this section may make provision in relation to—

a

every entity connected with a local authority;

b

such entities of a particular description.

6

For the purposes of this section an entity (“E”) is “connected with” a local authority at any time if—

a

it is an entity other than the local authority; and

b

according to proper practices in force at that time, financial information about E must be included in the local authority's statement of accounts for the financial year in which that time falls.

7

In this section—

  • “actions” includes courses of action;

  • “English local authority” means a local authority in England;

  • “entity” means any entity, whether or not a legal person;

  • “financial year” means a period for which accounts of the local authority must be prepared by reason of section 2 of the Audit Commission Act 1998 (c. 18) or section 13 of the Public Audit (Wales) Act 2004 (c. 23);

  • “local authority” means any body which—

    1. a

      is a local authority for the purposes of section 21 of the Local Government Act 2003 (c. 26) (see subsection (6) of that section and section 23 of that Act); and

    2. b

      is required to prepare statements of accounts by regulations made under section 27 of the Audit Commission Act 1998 or section 39 of the Public Audit (Wales) Act 2004;

  • “qualifying person” means a person who—

    1. a

      is authorised to represent the local authority at meetings of an entity that is connected with the local authority; or

    2. b

      is a member or director of such an entity or the holder of any other specified position in relation to such an entity;

  • “specified” means specified, or of a description specified, by the order;

  • “Welsh local authority” means a local authority in Wales.