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Greater London Authority Act 1999

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This is the original version (as it was originally enacted).

157Restriction on exercise of certain powers except through a company
This section has no associated Explanatory Notes

(1)The Secretary of State may by order made with the consent of the Treasury provide that Transport for London shall not carry on such activities as are specified in the order except through a company which is limited by shares and registered under the [1985 c. 6.] Companies Act 1985 and which is—

(a)a subsidiary of Transport for London; or

(b)a company which Transport for London formed, or joined with others in forming, by virtue of section 156(1) above and which does not fall within paragraph (a) above.

(2)The specification of an activity in an order under subsection (1) above shall not—

(a)prevent Transport for London from entering into or carrying out under section 156(2) or (3) above an agreement with a person for the carrying on of that activity by that person; or

(b)affect the validity of such an agreement.

(3)If it appears to the Secretary of State that Transport for London is carrying out, or proposes to carry out, otherwise than in compliance with an order under subsection (1) above any activities specified in such an order—

(a)the Secretary of State may give a direction to Transport for London requiring it to comply with the order within such period as may be specified for the purpose in the order; and

(b)Transport for London shall be under a duty to comply with such a direction.

(4)If Transport for London does not comply with a direction under subsection (3) above in the case of an activity to which the direction relates, Transport for London shall be treated in respect of the carrying out of that activity as not being a local authority for the purposes of—

(a)section 519 of the [1988 c. 1.] Income and Corporation Taxes Act 1988 (exemption of local authorities from income tax and corporation tax); and

(b)section 271 of the [1992 c. 12.] Taxation of Chargeable Gains Act 1992 (exemption of local authorities from capital gains tax).

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