Statutory Instruments
1991 No. 97
LOCAL GOVERNMENT, ENGLAND AND WALES
The Local Authorities (Capital Finance) (Rate of Discount for 1991/92) Regulations 1991
Made
21st January 1991
Laid before Parliament
30th January 1991
Coming into force
1st April 1991
The Secretary of State for the Environment, as repects England, and the Secretary of State for Wales, as respects Wales, in exercise of the powers conferred on them by section 49(2) of the Local Government and Housing Act 1989(1) and of all other powers enabling them in that behalf, hereby make the following Regulations:
1. These Regulations may be cited as the Local Authorities (Capital Finance) (Rate of Discount for 1991/92) Regulations 1991 and shall come into force on 1st April 1991.
2. The percentage rate of discount prescribed for the financial year beginning on 1st April 1991 for the purposes of section 49 of the Local Government and Housing Act 1989 shall be 11 per cent.
Michael Heseltine
Secretary of State for the Environment
21st January 1991
David Hunt
Secretary of State for Wales
21st January 1991
Explanatory Note
(This note is not part of the Order)
Part IV of the Local Government and Housing Act 1989 makes provision for the capital finance of local authorities. Section 49(2) sets out a formula for determining for the purposes of Part IV the value of the consideration failing to be given by a local authority under a credit arrangement in any financial year after the one in which the arrangement comes into being. The percentage rate of discount prescribed for a financial year is one of the factors referred to in the formula. These Regulations prescribe 11 per cent. for the financial year beginning on 1st April 1991.
The percentage rate of discount for the financial year beginning on 1st April 1990, prescribed by S. I. 1990/316, was also 11 per cent.