Water Resources Act 1991

Effect of order or agreement

8 (1) Where, by virtue of an order or agreement under this Schedule, property is transferred to the Authority on the terms that—

(a) the body from which it is transferred shall continue liable for the repayment of, and payment of interest on, any sum borrowed in connection with the property; and

(b) the Authority shall make payments to that body in respect of amounts paid by that body by reason of its continuing so liable,

any payment so made by the Authority shall be deemed to be a capital payment or an annual payment, according as the amount in respect of which it is made was paid in or towards repayment of the loan or by way of interest thereon.

(2) Property vested in the Authority by virtue of an order or agreement under this Schedule shall not be treated as so vested by way of sale for the purpose of section 12 of the [1895 c. 16.] Finance Act 1895 (which provides for charging stamp duty in the case of certain statutory transfers by way of sale).