Imposition of borrowing limitsN.I.
14—(1) Regulations made with the consent of the Department of Finance and Personnel may for national economic reasons set limits in relation to the borrowing of money by councils.
(2) The Department may by direction set limits in relation to the borrowing of money by a particular council for the purpose of ensuring that the council does not borrow more than it can afford.
(3) A council subject to a limit set under subsection (1) may transfer any headroom it has in relation to the limit to another council subject to a corresponding limit.
(4) Regulations made with the consent of the Department of Finance and Personnel may make provision about the exercise of the right under subsection (3) and may, in particular, make provision about—
(a)the circumstances in which a council is to be regarded as having headroom for the purposes of subsection (3), and
(b)the amount of headroom which it has for those purposes.
(5) Where an amount is transferred under subsection (3), this Part shall have effect—
(a)in relation to the transferor, as if the limit in relation to which the headroom exists were reduced by that amount, and
(b)in relation to the transferee, as if the corresponding limit to which it is subject were increased by that amount.
Commencement Information
I1S. 14 in operation at 1.4.2012 by S.R. 2011/306, art. 2(3)