Explanatory note
(This note is not part of the Regulations)
These Regulations further amend the Local Authorities (Capital Finance) Regulations 1990.
Regulation 3 amends regulation 6 of those Regulations to exclude further categories of leases and contracts from being credit arrangements.
The amendment made by regulation 4 provides that certain sums received in respect of a disposal of a local authority on rent to mortgage terms shall be capital receipts and the amendment made by regulation 8(b) specifies the reserved part applicable to such receipts.
Regulations 5 and 6 make provision for further reductions which an authority may make in their capital receipts before setting aside the reserved part as provision for credit liabilities and regulation 7 makes consequential amendments to regulation 20 of the 1990 Regulations.
Regulation 8(a) amends paragraph 1 of Part I of Schedule 1 to the 1990 Regulations in respect of the reserved part of capital receipts derived from the disposal of certain public airport company shares after 15th February 1989.