# The Industry Act 1980 (Increase of Limit) Order 1987, Note: Explanatory note


(This note is not part of the Order)
Section 5(3) of the Industry Act 1980, as substituted by section 1(3) of the Industry Act 1981, lays down a financial limit for the purposes of section 3 of the Act of £4,400 million but provides that the Secretary of State may by Order made with the consent of the Treasury increase such limit to an amount not exceeding £5,250 million.
The financial limit applies to the aggregate of:—
(a) expenditure in relation to the acquisition by the Secretary of State of any shares in companies in which controlling interests have been transferred to him by the National Enterprise Board (but excluding an amount equal to so much of the capital debt of the National Enterprise Board as related to securities of a company when control of it was transferred to the Secretary of State),
(b) the general external borrowing (otherwise than outstanding interest) of such companies in which the Secretary of State has not ceased to hold a controlling interest, and their subsidiaries, and
(c) sums issued to meet guarantees by the Secretary of State of the obligations of such companies to the extent that those sums have not been repaid.
This Order increases the financial limit from £4,400 million to £5,250 million.

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Source: https://www.legislation.gov.uk/uksi/1987/520/note (the official version)
Page: https://openlegislation.uk/industry-act-1980-increase-of-limit-order-1987/note
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.