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(1)The Audit Commission must from time to time produce a report on its findings in relation to the performance of English local authorities in exercising their functions.
(2)A report under subsection (1) must (in particular) categorise each English local authority to which the report relates according to how the authority has performed in exercising its functions.
(3)As regards each report produced under subsection (1), the Audit Commission—
(a)must send a copy of the report to the Secretary of State, and
(b)must publish the report.
(4)Where the Secretary of State receives a report produced under subsection (1), he may by order make provision categorising the English local authorities to which the report relates in accordance with their categorisation in the report.
(5)In making an order under subsection (4), the Secretary of State may depart from the categorisation in the report only for the purpose of correcting any clerical or typographical error in the report notified to him by the Audit Commission.
(6)An order under subsection (4) may provide for the categorisation for which it provides to have effect—
(a)from such time as may be specified by the order;
(b)only for such period as may be specified by the order.
(7)In this section—
“the Audit Commission” means the Audit Commission for Local Authorities and the National Health Service in England and Wales;
“English local authority” means—
a county council in England,
a district council,
a London borough council,
the Common Council of the City of London in its capacity as a local authority, or
the Council of the Isles of Scilly.
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