Paragraph 1

England, Wales and Scotland

(1)

Loans by the Corporation, with the exception of those under section 2(3), shall be made in accordance with the following provisions of this paragraph.

(2)

Loans shall be for such period not exceeding 5 years from the date of their being made, and shall carry such interest, as the Corporation may determine.

(3)

The interest determined by the Corporation in respect of a loan shall be such interest as they consider reasonable, regard being had—

(a)

to the current market rates of interest;

(b)

to the standing of the borrower; and

(c)

to the degree of likelihood that the making of the loan (or, in the case of a loan under section 2(2)(b), the making of the agreement in question) will result in the production or distribution of films on a commercially successful basis.

(4)

The Corporation may require such security to be given for the repayment of a loan, together with any sums due in respect of interest, as may be available.

(5)

In this paragraph (except sub-paragraph (3)(a)) references to interest include references to rights to share in profits.

Notes on the whole Act

Textual amendments

F1: Act repealed (5.11.1993) by 1993 c. 50, s. 1(1), Sch. 1 Pt.IX.