The Local Government Changes for England (Capital Finance) Regulations 1995

Interpretation of Part

17.—(1) In this Part—

“determined amount” means—

(a)

in relation to a credit arrangement of which the rights and liabilities are vested in a single participant authority, the amount of any credit approval which an abolished authority or a relinquishing authority, or the designated authority in relation to an abolished authority, have determined under section 56(1)(b) of the 1989 Act to treat as authority to enter into, or agree to a variation of, a credit arrangement; and

(b)

in relation to a credit arrangement of which the rights and liabilities are vested in a participant authority and any other local authority or the Residuary Body jointly and severally, such proportion of the amount referred to in sub-paragraph (a) above as T, in relation to the same arrangement, bears to the amount which would be T if paragraph 7 of the Schedule to the Transfer of Property Regulations were not subject to paragraph 1(3) of that Schedule;

“excluded arrangement” means a credit arrangement entered into by an abolished authority or a relinquishing authority which is excluded by regulations under paragraph 11(2) of Schedule 3 to the 1989 Act(1);

“housing component” means the housing component of the authority’s adjusted credit ceiling determined in accordance with paragraph 3(5) of Schedule 5 to the 1990 Regulations;

“Housing Revenue Account” means the account required to be kept under Part VI of the 1989 Act;

“non-housing component” means the non-housing component of the authority’s adjusted credit ceiling determined in accordance with paragraph 5(5) of Schedule 5 to the 1990 Regulations;

“relevant amount” means the relevant amount determined in accordance with Part III of Schedule 5 to the 1990 Regulations;

“relevant arrangement” means a credit arrangement, other than an excluded arrangement, entered into by an abolished authority or a relinquishing authority;

“R”, “T” and “U” mean respectively, in relation to a credit arrangement and a participant authority, the amount R, the amount T and the amount U determined under paragraph 7 of the Schedule to the Transfer of Property Regulations as that paragraph has effect subject to paragraph 1(3) of that Schedule; and

“vesting day” means the day when rights and liabilities under a credit arrangement are vested as mentioned in regulation 3(4) above in another local authority.

(2) In this Part, subject, where the context requires, to a modification made under any provision of this Part—

(a) any reference to the credit ceiling of a local authority on any day shall be construed as a reference to that authority’s credit ceiling on that day as determined under Part III of Schedule 3 to the 1989 Act; and

(b) any reference to the adjusted credit ceiling of a local authority shall be construed in accordance with paragraph 18 of Schedule 3 to the 1989 Act.

(3) For the purposes of this Part, where a local authority’s credit ceiling, adjusted credit ceiling, housing component, non-housing component or relevant amount on any day falls to be adjusted by the addition of any negative sum or the deduction of any positive sum, the amount in question, by virtue of the adjustment, may be less than it was and may be a negative amount.

(1)

See regulation 22 of the 1990 Regulations.