Regulation 20 Small workforces: transitional provision

Where during the reorganisation period a successor authority carry out work comprised in an arrangement in relation to which the transferor authority were not required to comply with Part I of the Act by reason of article 3 of the Local Government Act 1988 (Defined Activities) (Exemptions) (England) Order 1988^f1 (“the 1988 Order”), that work shall during that period not be treated as comprised in a defined activity.

In relation to a new authority, no activity mentioned in section 2(2) of the Act shall be treated as a defined activity during the reorganisation period if before the reorganisation date the shadow authority estimate that the new authority will not incur, as the gross cost of carrying out that activity during the year following that date, a sum exceeding £100,000.

For the purposes of this regulation the gross cost of carrying out an activity shall be determined as provided in article 3(3) of the 1988 Order.