Article 3 Exemption for work carried out under certain works contracts

Subject to paragraphs (2) to (4) below, the activities mentioned in section 2(2)(j) to (n) of the Local Government Act 1988^f1 shall not be treated as defined activities so long as they consist of work undertaken by a defined authority for another party under a works contract and the gross annual cost of that work under that contract does not exceed £25,000.

The activities mentioned in paragraphs (j), (l) and (m) of section 2(2) of the Local Government Act 1988 shall not be treated as defined activities so long as they consist of work undertaken by a defined authority for a police authority under a works contract and the gross annual cost of that work under that contract does not exceed £300,000.

The activity mentioned in paragraph (k) of section 2(2) of the Local Government Act 1988 shall not be treated as a defined activity so long as it consists of work undertaken by a defined authority for a police authority under a works contract and the gross annual cost of that work under that contract does not exceed £450,000.

The activity mentioned in paragraph (n) of section 2(2) of the Local Government Act 1988 shall not be treated as a defined activity so long as it consists of work undertaken by a defined authority for a police authority under a works contract and the gross annual cost of that work under that contract does not exceed £400,000.

In this article—

• “gross annual cost” means the estimated total annual cost including overheads; and

• “police authority” means—

  1. (a)

     a police authority constituted under section 3 of the Police Act 1964^f2, and

  2. (b)

     the Common Council of the City of London in its capacity as a police authority.