Chapter 2: Mayoral development corporations
Sections 196 to 200: Establishment and areas
421.Section 197 provides for the Mayor of London to designate any area of land in Greater London, including separate parcels of land, as a mayoral development area provided the Mayor has consulted, where necessary, the individuals and bodies specified in the Act. The Mayor must submit a document detailing the proposal for designation to the London Assembly and allow them 21 days to consider. If a two-thirds majority of the London Assembly object to the proposal then they can veto it. If the Mayor designates a mayoral development area successfully, the Mayor must publicise the designation and notify the Secretary of State of both the designation and the name to be given to the mayoral development corporation for the area.
422.Section 198 provides that if the Secretary of State is notified of the designation of a mayoral development area, the Secretary of State must, by order, establish a mayoral development corporation for the area giving it the name notified by the Mayor. A mayoral development corporation will be a body corporate. The section introduces Schedule 21 which makes provision about the constitution and governance of a mayoral development corporation.
423.Section 199 provides that the Mayor may alter the boundaries of a mayoral development area to exclude any area of land. Prior to this, the Mayor must consult the London Assembly and any other person the Mayor considers appropriate.
424.Section 200 provides that the Secretary of State may, at any time, make a scheme transferring (to a mayoral development corporation) property, rights and liabilities of the persons specified in the Act, once the Secretary of State has consulted with the persons concerned and the Mayor. The Mayor may make a scheme transferring property, rights and liabilities of the Greater London Authority or a functional body, other than the mayoral development corporation, to a mayoral development corporation.
Section 201: Object and powers
425.Section 201 provides that a mayoral development corporation’s object is to secure the regeneration of its area. It may do anything it considers appropriate for that purpose or incidental purposes. A mayoral development corporation can also have specific powers, which must be exercised for that purpose or incidental purposes.
Sections 202 to 205: Planning and infrastructure functions
426.Section 202 makes provision for a mayoral development corporation to become the local planning authority for the purposes, separately or collectively, of plan-making, development control and neighbourhood planning.
427.Section 203 provides that a mayoral development corporation may make arrangements for the discharge of its development control functions, in whole or part, by the relevant council(s). The mayoral development corporation may also seek the relevant council’s or councils’ assistance in the discharge of its plan-making functions.
428.Section 204 provides that if an order establishing a mayoral development corporation has been made, the Mayor may decide to remove the mayoral development corporation’s planning functions or apply restrictions to their use.
429.Section 205 provides that a mayoral development corporation may provide or facilitate the provision of infrastructure. It may do so by way of acquisition, construction, conversion, improvement or repair.
Sections 206 to 210: Land functions
430.Section 206 provides that a mayoral development corporation may carry out or facilitate a range of specified activities including the regeneration or development of land and bringing about the effective use of land.
431.Section 207 provides that a mayoral development corporation can acquire land within its area or elsewhere by agreement. With the authorisation of the Secretary of State, and the prior consent of the Mayor, a mayoral development corporation can acquire compulsorily land or new rights over land within its area or elsewhere within Greater London.
432.Section 208 provides for Schedules 3 and 4 to the Housing and Regeneration Act 2008 to apply in relation to a mayoral development corporation and its land. The powers include powers to override easements and extinguish public rights of way, powers in relation to burial grounds and consecrated land, and powers in relation to, and for, statutory undertakers. Where a mayoral development corporation wishes to extinguish rights of way, it requires the Mayor’s agreement.
433.Section 209 provides that a mayoral development corporation is not permitted to dispose of land for less than best consideration, unless the Mayor consents, but this does not apply to granting or assigning a short tenancy of seven years or less.
434.Section 210 provides that a mayoral development corporation can: authorise a person to enter land in connection with a proposal by the mayoral development corporation to acquire that land or other land, or a claim for compensation in respect to the acquisition of land; and exercise this power for the purposes of surveying land or estimating its value.
Sections 211 to 214: Other functions
435.Section 211 provides that if street works in a mayoral development corporation’s area are needed and involve a private street, the mayoral development corporation can serve an adoption notice on the street works authority – making the street (or part of it) a highway maintainable at public expense. The authority may appeal against a notice and ask the Secretary of State to decide how to proceed.
436.Section 212 provides that a mayoral development corporation may carry on any business and, if the Mayor agrees, set up or take a stake in bodies corporate. Mayoral development corporation subsidiaries cannot take part in activities which mayoral development corporations themselves cannot. A subsidiary of a mayoral development corporation cannot borrow from, or raise money by issuing shares or stock to, a person other than the mayoral development corporation without the Mayor’s approval.
437.Section 213 provides that with the Mayor’s consent, a mayoral development corporation can give financial assistance to any person and in any form.
438.Section 214 provides that the Mayor may decide, subject to prior consultation, that the power to grant discretionary relief from business rates should be transferred from the relevant local authorities to a mayoral development corporation.
Sections 215 to 217: Dissolution
439.Section 215 provides that the Mayor is obliged to review, from time to time, the continuing existence of a mayoral development corporation.
440.Section 216 provides for the Mayor to transfer any mayoral development corporation property, rights or liabilities to: the Greater London Authority; a subsidiary company of the Authority; a functional body of the Greater London Authority other than the mayoral development corporation; or a London borough council; the Common Council of the City of London or any other body - with their agreement.
441.Section 217 provides that the Mayor can ask the Secretary of State to revoke the order that established a mayoral development corporation, provided the mayoral development corporation has no property, rights or liabilities. The Secretary of State must make an order giving effect to any such request from the Mayor.
Sections 218 to 222: General
442.Section 218 sets out general provisions for the transfer of property, rights or liabilities (including in relation to a contract of employment) under a transfer scheme.
443.Section 219 provides that the Mayor can, following consultation, issue guidance or revoke or vary previous guidance to mayoral development corporations. A mayoral development corporation must have regard to any guidance issued to it by the Mayor.
444.Section 220 provides that the Mayor may give directions or revoke or vary previous general or specific directions to a mayoral development corporation.
445.Section 221 provides that the Mayor can give consent under this Chapter unconditionally or subject to conditions; and generally or specifically. The Mayor may vary or revoke such consents, subject to various conditions and limitations.
446.Section 222 introduces Schedule 22 which makes consequential amendments.
