Transport Act 1968

56 Assistance by Minister or local authority towards capital expenditure on public transport facilities. E+W+S

(1) Subject to subsections (3) and (4) of this section, the Minister may with the approval of the Treasury make grants upon such terms and conditions as the Minister thinks fit to any person towards expenditure appearing to the Minister to be of a capital nature incurred or to be incurred by that person for the purpose of the provision, improvement or development of facilities for public passenger transport in Great Britain.

(2) Subject to subsections (3) and (4) of this section, any local authority, or any two or more local authorities acting jointly, may make payments, upon such terms and conditions as they think fit, to any other person towards expenditure appearing to the authority or authorities in question to be of a capital nature incurred or to be incurred by that other person for the purpose of the provision, improvement or development of any facilities for public passenger transport if it appears to the authority or each of the authorities in question that those facilities are or will be of benefit to the area of that authority.

[F1 (2A) Where a relevant local authority proposes to make payments under subsection (2) of this section in respect of any facilities, that authority may enter into an agreement with the Franchising Director under which the Franchising Director undertakes to exercise franchising functions of his, to refrain from exercising such functions, or to exercise such functions in a particular manner, in relation to the use of the facilities in question.

(2B) In subsection (2A) of this section, the following expressions have the following meanings respectively, that is to say—

• “the Franchising Director” means the Director of Passenger Rail Franchising;

• “franchising functions”, in relation to the Franchising Director, has the same meaning as it has in relation to him in section 54 of the Railways Act 1993;

• “relevant local authority” means—

  (a)

  a non-metropolitan county or district council in England or in Wales;

  (b)

  a London borough council or the Common Council of the City of London; or

  (c)

  a [F2 council constituted under section 2 of the Local Government etc. (Scotland) Act 1994] in Scotland;

and any reference to a relevant local authority shall be taken to include a reference to any two or more such authorities acting jointly.]

(3) No grant under subsection (1) of this section and no payment under subsection (2) thereof shall be made for the purposes of the provision, improvement or development of an airfield, a harbour, or (except when used or to be used for the purposes of a ferry service) a dock, pier or jetty.

[F3 (3A) Nothing in subsection (3) of this section precludes the making of grants under subsection (1) or payments under subsection (2) thereof for the purposes of the provision, improvement or development of facilities for or in connection with public passenger transport by land to or from an airfield, harbour, dock, pier or jetty.]

[F4 (4) No grant under subsection (1) of this section shall be made for any purpose unless the Secretary of State is satisfied that the provision, improvement or development of the facilities in question is appropriate in the light of—

(a) any general policies formulated by a Passenger Transport Authority under section 9A(1) or (5) of this Act;

(b) any general policies formulated by a non-metropolitan county council under section 63(1) or by a [F5 regional or islands] council under section 63(2) of the Transport Act 1985 (policies with respect to services to be secured to meet public transport requirements within the county); and

(c) any measures adopted by such a council under subsection (6) of that section (measures for promoting co-ordination of services and convenience of the public in using services for their area);

which are relevant to the need for facilities of the description in question in the locality in which they are, or are to be, provided; and no payment under subsection (2) of this section shall be made for any purpose unless the local authority or local authorities in question are so satisfied.]

(5) Where a person has used or proposes to use an asset of his for the purpose of the provision, improvement or development of facilities for public passenger transport, the Minister or, as the case may be, the local authority or local authorities in question may for the purposes of this section treat as expenditure of a capital nature incurred or to be incurred by that person for that purpose such amount not exceeding the capital value of that asset as the Minister or, as the case may be, the local authority or authorities in question may determine to be appropriate.

(6) In this section the expression “local authority” means—

(a) the council of any county,. . . F6 or [F7 district] in England or Wales;

(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F8

[F9 (bb) a metropolitan county passenger transport authority;]

(c) the Council of the Isles of Scilly; or

(d) any [F10 council constituted under section 2 of the Local Government etc. (Scotland) Act 1994] in Scotland;

and in the application of this section to Scotland or Wales any reference to the Minister shall be construed as a reference to the Secretary of State.

Textual Amendments

F1 S. 56(2A)(2B) inserted (1.4.1994) by 1993 c. 43, s. 138(2); S.I. 1994/571, art. 5

F2 S. 56(2B): words in para. (c) in the definition of “relevant local authority" substituted (S.) (1.4.1996) by 1994 c. 39, s. 180(1), Sch. 13 para. 80(7)(a); S.I. 1996/323, art. 4(1)(b)(c)

F3 S. 56(3A) inserted (retrospectively) by 1993 c. 43, s. 138(3); S.I. 1994/571, art. 5

F4 S. 56(4) substituted by Transport Act 1985 (c. 67, SIF 126), s. 139(2), Sch. 7 para. 12

F5 Words in s. 56(4)(b) repealed (S.) (1.4.1996) by 1994 c. 39, s. 180(1)(2), Sch. 13 para. 80(7)(b), Sch. 14; S.I. 1996/323, art. 4(1)(b)(c)(d), Sch. 2

F6 Words repealed by Local Government Act 1972 (c. 70, SIF 81:1), Sch. 30

F7 Word substituted by virtue of Local Government Act 1972 (c. 70, SIF 81:1), s. 179(3)

F8 Words repealed by London Regional Transport Act 1984 (c. 32, SIF 126), s. 71(3)(b), Sch. 7

F9 S. 56(6)(bb) inserted by Local Government Act 1985 (c. 51, SIF 81:1), s. 39, Sch. 12 para. 3(1)

F10 Words in s. 56(6)(d) substituted (S.) (1.4.1996) by 1994 c. 39, s. 180(1), Sch. 13 para. 80(7)(c); S.I. 1996/323, art. 4(1)(b)(c)

Modifications etc. (not altering text)

C1 S. 56 amended by Local Government Act 1974 (c. 7, SIF 81:1), Sch. 1 paras. 6, 8, 9 and Local Government (Scotland) Act 1975 (c. 30, SIF 81:2), s. 14(1)(3)

C2 S. 56(1) excluded by Channel Tunnel Act 1987 (c. 53, SIF 102), ss. 2(3), 45, Sch. 7 Pt. VI para. 2

C3 S. 56(1) restricted by Channel Tunnel Act 1987 (c. 53, SIF 102), ss. 42(3), 45, Sch. 7 Pt. VI para. 2

C4 S. 56(2) restricted by London Regional Transport Act 1984 (c. 32, SIF 126), Sch. 5 para. 16