6(1)In section 54 (purposes for which franchising functions may be exercised), in subsection (1)—E+W+S
(a)for “Authority or a Passenger Transport Authority or Passenger Transport Executive” substitute “ Secretary of State or the Scottish Ministers ”; and
(b)in paragraph (a), after “any of” insert “ his or ”.
(2)For subsection (2) of that section substitute—
“(2)The Secretary of State and the Scottish Ministers shall each have power to enter into agreements under which an undertaking is given by him or them—
(a)to exercise his or their franchising functions;
(b)to refrain from exercising them; or
(c)to exercise them in a particular manner.”
(3)In subsection (3) of that section, in the first definition of “franchising functions”—
(a)for “Authority”, wherever occurring, substitute “ Secretary of State or the Scottish Ministers ”;
(b)in paragraph (a), for “of the Authority's functions“ substitute “ of the functions of the Secretary of State or of the Scottish Ministers ”;
(c)in that paragraph, for “35” substitute “ 31 ”; and
(d)in paragraph (b), for “Schedule 21 to the Transport Act 2000” substitute “ section 1(2) of the Railways Act 2005 ”;
and omit the definition of “franchising functions” in relation to a Passenger Transport Authority or Passenger Transport Executive.