Section 24 Authorities dissolved by orders: control of disposals, contracts and reservesI1

England and Wales

(1)

The Secretary of State may direct that, with effect from a date specified in the direction, a relevant authority may not without the written consent of a person or persons so specified—

(a)

dispose of any land if the consideration for the disposal exceeds £100,000;

(b)

enter into any capital contract—

(i)

under which the consideration payable by the relevant authority exceeds £1,000,000; or

(ii)

which includes a term allowing the consideration payable by the relevant authority to be varied;

(c)

enter into any non-capital contract under which the consideration payable by the relevant authority exceeds £100,000, where—

(i)

the period of the contract extends beyond a date specified in the direction; or

(ii)

under the terms of the contract, that period may be extended beyond that date; or

(d)

include an amount of financial reserves in a calculation under section F131A(3) or 42A(3) of the Local Government Finance Act 1992 (c. 14).

(2)

In this Chapter “relevant authority” means a local authority—

(a)

which by virtue of an order under section 7 or 10 is to be dissolved; and

(b)

which is specified, or of a description specified, in the direction.

(3)

In this section—

“capital contract” means a contract as regards which the consideration payable by the relevant authority would be capital expenditure for the purposes of Chapter 1 of Part 1 of the Local Government Act 2003 (c. 26) (capital finance);
“non-capital contract” means a contract which is not a capital contract.

(4)

A person specified in the direction as a person whose consent is required may be the Secretary of State or such authority or other person as he thinks appropriate; and the direction may specify different persons—

(a)

in relation to different matters for which consent is required;

(b)

in relation to different relevant authorities or descriptions of relevant authority.

Annotations

Textual amendments

F1: Words in s. 24(1)(d) substituted (3.12.2011) by Localism Act 2011 (c. 20), s. 240(2), Sch. 7 para. 49; S.I. 2011/2896, art. 2(i)

Commencement

I1: S. 24 in force at 1.11.2007 for E. by S.I. 2007/3136, art. 2(a)