Explanatory note

Under Part I of the Local Government Act 1988 (competition), work falling within certain defined activities may be carried out by defined authorities only if particular conditions are fulfilled.

The Local Government Act 1988 (Defined Activities) (Housing Management) (Exemp tions) (Wales) Order 1997 (S.I. 1997/934) (“the principal Order”) exempts from the requirements of Part I housing management by county or county borough councils in Wales so long as the number of certain houses provided by the authority under Part II of the Housing Act 1985 is not more than 2,500 (the housing stock exemption).

The principal Order also provides a temporary exemption for housing management services provided by such councils to certain tenant management organisations (the tenant management organisation exemption). These exemptions under the principal Order apply in consequence of the Local Government Act (Competition) (Housing Management) (Wales) Regulations 1997 (S.I. 1997/935) applying the compulsory competitive tendering requirements for housing management services from 1st April 1998.

The present Order amends the principal Order in consequence of regulation 4 of the Local Government Act 1988 (Competition) (Wales) Regulations 1997 (S.I. 1997/1699) which has substituted 1st October 1999 as the date for the application of these compulsory competitive tendering requirements in respect of housing management services. Article 2(2) amends article 5(3) of the principal Order in respect of the tenant management organisation exemption, to provide that that exemption will now in all cases end by 1st October 2004. Article 2(3) revokes Schedule 1 to the principal Order in consequence of the amendment by article 2(2).