Explanatory note

The annual limit on the amount of expenditure which a local authority may incur for purposes not otherwise authorised is determined under section 137(4) of the Local Government Act 1972 by reference to the sum prescribed for an authority of that class in section 137(4AA). Different sums may be specified by order made by the Secretary of State.

This Order provides that the appropriate sum for a local authority which incurs expenditure or contributes to expenditure incurred pursuant to a scheme made under section 48 of the Local Government Act 1985 (which provides for the making of grants to voluntary organisations whose activities benefit Greater London or the area of a metropolitan county) is £475. The sum currently prescribed by section 137(4AA) of the 1972 Act for such authorities is £5.50p net