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2.—(1) A body falling within the description specified in paragraph (2), being a person appearing to the Secretary of State for Transport, Local Government and the Regions to be exercising a function of a public nature, shall be a public body for the purposes of the Local Authorities (Goods and Services) Act 1970 in its application to England.
(2) A body set up by a local authority, in exercise of powers under section 2 of the Local Government Act 2000(1), to exercise management functions as agent of the local authority under an arrangement approved by the Secretary of State under section 27 of the Housing Act 1985(2).
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