Regulation 16 Meaning of private finance transactionI1

England and Wales Not yet in force

Changes not yet applied. Later legislation changes this provision in ways not yet written into the text below:

reg.16(2)(a)(i) rev.in pt. by Local Authorities (Capital Finance) 1997 reg.3(a)
reg.16(2)(e) substituted by Local Authorities (Capital Finance) 1997 reg.3(c)
reg. 16 coming into force by Local Authorities (Capital Finance) 1997 reg. 1(1)(b)
reg 16 defn(s) appl (E) (1.1.2004) by Financing of Maintained Schools 2003 reg 14, Sch 1, para 14
reg.16 substituted by Local Authorities (Capital Finance) 1998 reg.4
reg.16 am. and rev.in pt. by Local Authorities (Capital Finance and Approved Investments) 1999 reg.4
reg 16 defn(s) appl (E) by Financing of Maintained Schools 2001 regs 5, 16, Sch 1, para 19(a), Sch 2, para 17
reg 16 defn(s) appl (E) by School Organisation Proposals by the Learning and Skills Council for England 2001 reg 9(2)(b)(v)
reg 16 defn(s) rev (E) by Local Authorities (Capital Finance) 2003 reg 2(1), (3)(a)(i)
reg 16 defn(s) rev in pt (E) by Local Authorities (Capital Finance) 2003 reg 2(1), (3)(a)(ii)
reg 16 am (E) by Local Authorities (Capital Finance) 2003 reg 2(1), (3)(b)(i)
reg 16 rev in pt (E) by Local Authorities (Capital Finance) 2003 reg 2(1), (3)(b)(ii)
reg. 16 continued by Local Authorities (Capital Finance) (Consequential, Transitional and Saving Provisions) 2004 art. 11
reg 16 defn(s) appl (E) (1.4.2005) by Financing of Maintained Schools 2004 reg 14, Sch 1, para 14
reg 16 defn(s) appl (W) by Schools Budget Shares 2004 reg 13, Schedule, para 16
reg 16 defn(s) appl (W) by School Organisation Proposals by the National Council for Education and Training for Wales 2004 reg 16(2)(e)
reg 16 defn(s) appl (E) by Financing of Maintained Schools 2002 regs 5, 16, Sch 1, para 19(a), Sch 2, para 14
reg 16 defn(s) appl by School Organisation Proposals by the National Council for Education and Training for Wales 2002 reg 8(2)(e)

(1)

In this regulation, “relevant asset” means any non-housing land or any other asset (including works) which is not land.

(2)

For the purposes of this Part, a transaction is a private finance transaction if—

(a)

the consideration received by the authority under the transaction includes the provision—

(i)

of a relevant asset for use for, or in connection with, the exercise of a function of the authority (“the relevant purpose”); and

(ii)

of services in relation to the use of the asset for the relevant purpose;

(b)

the authority do not give to any person any undertaking or guarantee in respect of any obligations or liabilities of the person with whom they enter into the transaction (whether incurred under the transaction or otherwise);

(c)

the consideration given by the authority under the transaction includes the payment of fees by instalments at annual or more frequent intervals;

(d)

the fees are determined in accordance with provisions relating to—

(i)

standards attained in the performance of the services; or

(ii)

the extent, rate or intensity of use of the asset for the relevant purpose;

(e)

the first instalment of fees falls to be paid after the authority have begun to use the asset for the relevant purpose; and

(f)

the terms agreed for the transaction do not provide for any variation in the amount of fees payable, other than variation under the provisions mentioned in sub-paragraph (d), and any provision agreed for increasing the fees by reference to—

(i)

increases in heating costs attributable to increases in the price of gas, electricity or fuel; or

(ii)

the figure in Table 2.1 of Economic Trends^f1 published by the Office for National Statistics as the most recent percentage change, quarter on corresponding quarter of previous year, of the implied gross domestic product deflator at market prices.

Annotations

Commencement

I1: Reg. 16 in force at 1.4.1997, see reg. 1(1)(b)

Footnotes

f1: Available from the Office for National Statistics or from The Stationery Office.