The Scottish Ministers may make grants and loans of such amounts, and subject to such conditions, as they may determine to a voluntary organisation engaged as is mentioned in subsection (1) above to enable that organisation (in this section referred to as the “ primary organisation ”) to make grants and loans (in this section referred to as “ secondary grants and loans ”) to other voluntary organisations, or other persons, so engaged, in circumstances where it appears to the primary organisation that the secondary grants and loans should be made; and the Scottish Ministers may require that any secondary grant be subject to such conditions (including conditions for securing the repayment in whole or in part of that grant) as they may specify.

The conditions on which any grants are paid F5by the Scottish Ministers under subsection (1) or (1A) above may include conditions for securing the repayment in whole or in part of such grants.

A local authority may make contributions by way of grant or loan to any voluntary organisation the sole or primary object of which is to promote social welfare.

In subsection (3) above, “ voluntary organisation the sole or primary object of which is to promote social welfare ” includes F9a person providing, as mentioned in section 2(11)(b) of the Regulation of Care (Scotland) Act 2001 (asp 8), an adoption service registered under Part 1 of that Act .

A local authority may also make available to such a voluntary organisation as aforesaid the use of premises belonging to the authority on such terms as may be agreed, and furniture, vehicles or equipment (whether by way of gift, loan or otherwise) and the services of any staff employed by the authority in connection with the premises or other things belonging to the local authority which the voluntary organisation is permitted to use.

On the commencement of this Act, the power of the Secretary of State to give financial assistance and of local authorities to give financial and other assistance under F7section 65 of the M1Health Services and Public Health Act 1968 F8and section 16B of the M2National Health Service (Scotland) Act 1978 shall cease in so far as any such assistance may be given under this section.