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The Local Authorities (Capital Finance) (Amendment) (Wales) Regulations 2003

W.S.I. 2003/915 · Made 26 March 2003

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

LOCAL GOVERNMENT, WALES

Made 26th March 2003

Coming into force 1st April 2003

The National Assembly for Wales makes the following Regulations, in exercise of the power given to the Secretary of State by section 42(4) of the Local Government and Housing Act 1989f1 which is now vested in the National Assembly for Wales so far as exercisable in Walesf2:

Annotations to the whole text

Footnotes

f1

1989 c. 42.

f2

See the National Assembly for Wales (Transfer of Functions) Order (S.I. 1999/672).

Contents

  1. 1Name, commencement, application and interpretation
  2. 2Amendment of the Local Authorities (Capital Finance) Regulations 1997
  3. Signature
  4. Explanatory note

1Name, commencement, application and interpretation

(1)

These Regulations are called the Local Authorities (Capital Finance) (Amendment) (Wales) Regulations 2003 and shall come into force on 1st April 2003.

(2)

The amendments made by these Regulations apply only to local authorities in Wales.

(3)

In these Regulations “the 1997 Regulations” (“Rheoliadau 1997”) means the Local Authorities (Capital Finance) Regulations 1997f1.

2Amendment of the Local Authorities (Capital Finance) Regulations 1997

After regulation 12A (Expenditure not required to be charged to a revenue account — expenditure for capital purposes on property within the Housing Revenue Account) of the 1997 Regulations insert —

“Expenditure not required to be charged to a revenue account — expenditure in respect of liabilities for retirement benefits

12B.
(1)

Expenditure by a local authority in Wales in respect of liabilities for retirement benefits appropriated to a pension reserve in accordance with proper practices shall be expenditure falling within section 42(2).

(2)

For the purposes of paragraph (1) “retirement benefits” means benefits payable pursuant to —

(a)

the Local Government Pension Scheme Regulations 1997f1;

(b)

the Local Government (Early Termination of Employment) (Discretionary Compensation) (England and Wales) Regulations 2000f2;

(c)

the Firemen’s Pension Scheme Order 1992f3;

(d)

the Police Pensions Regulations 1987f4;

(e)

the Teachers (Compensation for Redundancy and Premature Retirement) Regulations 1997f5.

(f)

any other regulations made under section 24 of the Superannuation Act 1972 (Compensation for loss of office, etc)f6.”.

Signature

Signed on behalf of the National Assembly for Wales under section 66(1) of the Government of Wales Act 1998f1

D. Elis-Thomas

The Presiding Officer of the National Assembly

26th March 2003

Explanatory note

(This note is not part of the Regulations)

These Regulations amend the Local Authorities (Capital Finance) Regulations 1997 (“the 1997 Regulations”) in order to deal with the effects of the application to local authorities of a new accounting standard, 'FRS 17', which requires future liabilities for retirement benefits to be recognised in local authorities' accounts.

Section 42 of the Local Government and Housing Act 1989 provides that certain expenditure of a local authority is not required to be charged to a revenue account of the authority. These Regulations, made under that section, amend the 1997 Regulations by inserting a new regulation which provides that expenditure on liabilities for retirement benefits which a local authority has appropriated to a pension reserve as required by proper accounting practices need not be charged to a revenue account.