# Local Government Act 2003, Section 2: Control of borrowing

Extent: E+W

(1) A local authority may not borrow money if doing so would result in a breach of—
(a) the limit for the time being determined by or for it under section 3, or
(b) any limit for the time being applicable to it under section 4 , or
(c) any limit for the time being applicable to it under section 12A.
(2) The Secretary of State may, in relation to specific borrowing by a particular local authority, by direction disapply subsection (1)(b), so far as relating to any limit for the time being applicable under section 4(1).
(3) A local authority may not, without the consent of the Treasury, borrow otherwise than in sterling.
(4) This section applies to borrowing under any power for the time being available to a local authority under any enactment, whenever passed.

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Source: https://www.legislation.gov.uk/ukpga/2003/26/section/2 (the official version)
Page: https://openlegislation.uk/local-government-act-2003/section-2
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.