# Railways Act 2005, Paragraph 13


(1) Where a person (“the predecessor”) is carrying on a trade and, in consequence of a scheme made under section 1(2)—
(a) the predecessor ceases to carry on a trade, and
(b) a person who is not a national authority (“the successor”) begins to carry on activities of that trade as part of a trade carried on by the successor,
then that part of the trade carried on by the successor shall be treated for the purposes of paragraph 12 as a separate trade.
(2) Where a person (“the predecessor”) is carrying on a trade and, in consequence of a scheme made under section 1(2)—
(a) the predecessor ceases to carry on a part of a trade, and
(b) a person who is not a national authority begins to carry on activities of that part of that trade,
then the predecessor shall be treated for the purposes of paragraph 12 and sub-paragraph (1) of this paragraph as having carried on that part of its trade as a separate trade.
(3) Where activities fall to be treated for the purposes of this paragraph as a separate trade, such apportionments of receipts, expenses, assets and liabilities shall be made for the purposes of the 2001 Act as may be just and reasonable.

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Source: https://www.legislation.gov.uk/ukpga/2005/14/schedule/10/paragraph/13 (the official version)
Page: https://openlegislation.uk/railways-act-2005/schedule-10/paragraph-13
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.