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(1)All expenses incurred by the Minister with the consent of the Treasury for the purpose of any such arrangements or in carrying out any such agreement as is mentioned in the preceding provisions of this Part of this Act shall be defrayed out of moneys provided by Parliament.
(2)In respect of each period of twelve months ending with the thirty-first day of March, there shall be payable out of moneys provided by Parliament, to the council of any county or county borough who execute works in that period for the purpose of rendering any premises under the control of the council suitable for a hospital for the treatment of casualties occurring in Great Britain from hostile attack or for the purpose of protecting persons in hospitals under the control of the council from injury in the event of hostile attack, a grant of whichever is the greater of the following two amounts, namely—
(a)seven-tenths of the approved expenses incurred by the council in that period in the execution of those works; or
(b)the amount by which such expenses exceed one-tenth of the produce of a rate of one penny in the pound levied in the area of the council for that period.
This subsection shall have effect with respect to the period ending with the thirty-first day of March nineteen hundred and thirty-nine and all subsequent periods.
(3)For the purpose of this section, the amount of the produce of a rate of one penny in the pound for any period shall be ascertained in the manner required by paragraph 3 of the Schedule to the Act of 1937, and the expression " approved expenses " means such expenses of a capital nature, incurred in the execution of such works, as the Minister, acting in accordance with general directions of the Treasury, may approve for the purposes of this section.
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