Regulation 18 Leases and contracts of small valueI1

England and Wales Not yet in force

(1)

A lease or a contract is excluded from section 48 if the authority estimate, at the time they become the lessees or enter into the contract, that the total value of the consideration which will fall to be given by them in respect of—

(a)

the lease or the contract; or

(b)

the lease or the contract taken together with any other arrangement (whether a lease or a contract) which they have entered into with the same person, or an associate of his, in the same financial year,

will not exceed £12,000.

(2)

For the purposes of paragraph (1)—

(a)

a local authority shall be deemed to have entered into another arrangement with the same person, or an associate of his, if they have acquired a lease under which that person or associate is the lessor; and

(b)

two persons are associates of each other if, for the purposes of the Companies Act 1985^f1, one of them is a subsidiary of the other, or they are both subsidiaries of some other person.

Annotations

Commencement

I1: Reg. 18 in force at 1.4.1997, see reg. 1(1)(b)

Footnotes

f1: See section 736 of the Companies Act 1985 (c. 6) so far as that section is of continuing application, or that section as substituted by section 144(1) of the Companies Act 1989 (c. 40).