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The Local Authorities (Capital Finance) Regulations 1997
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Advances and grants for building works
4.—(1) In this regulation, “relevant expenditure” means expenditure incurred by a local authority on the making of advances, grants or other financial assistance to any person towards exenditure incurred or to be incurred by that person on—
(a)the carrying out of works such as are mentioned in regulation 3; or
(b)the carrying out of works which are intended to increase substantially the extent to which a building or part of a building can or will be used for any purpose.
(2) Relevant exenditure incurred by a local authority, in so far as it is not expenditure for capital purposes by virtue of section 40(4), and is not expenditure on approved investments, shall be expenditure for capital purposes.
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