26SA person lending money to a local authority shall not be bound to inquire whether the borrowing of the money is legal or regular or whether the money raised was properly applied and shall not be prejudiced by any illegality or irregularity, or by the misapplication or non-application of any of that money.
27S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F1
Textual Amendments
28(1)Subject to F2. . . sub-paragraph (2) below, the provisions of this Schedule shall, subject to any necessary modifications, apply to a joint board having power to borrow money [F3and], [F4the Strathclyde Passenger Transport Authority]. . . F5. . . as they apply to a local authority.S
(2)The Secretary of State may by regulations make such provisions as seem to him necessary or expedient with respect to the application of the provisions of this .
[F6(a)a joint board; and]
[F7(b)the Strathclyde Passenger Transport Authority]
(3)A statutory instrument containing regulations under this paragraph shall be subject to annulment in pursuance of a resolution of either House of Parliament.
Textual Amendments
F2Words in Sch. 3 para. 28(1) repealed (1.4.1996) by 1994 c. 39, s. 180(2), Sch. 14 (with s. 128(2)); S.I. 1996/323, art. 4(1)(d), Sch. 2
F3Word in Sch. 3 para. 28(1) inserted (1.4.1996) by 1995 c. 25, s. 120(1), Sch. 22 para. 32(3)(a)(i) (with ss. 7(6), 115, 117)); S.I. 1996/186, art. 3
F4Words in Sch. 3 para. 28(1) inserted (31.3.1996) by 1994 c. 39, s. 180(1), Sch. 13 para. 100(9)(h)(i) (with s. 128(2)); S.I. 1996/323, art. 3(a)
F5Words in Sch. 3 para. 28(1) repealed (1.4.1996) by 1995 c. 25, s. 120(1)(3), Sch. 22 para. 32(3)(a)(ii), Sch. 24 (with ss. 7(6), 115, 117)); S.I. 1996/186, art. 3
F6Sch. 3 para. 28(2)(a) substituted (1.4.1996) by 1995 c. 25, s. 120(1), Sch. 22 para. 32(3)(b) (with ss. 7(6), 115, 117)); S.I. 1996/186, art. 3
F7Words in Sch. 3 para. 28(2) inserted for the words “Schedule to” to the end (31.3.1996) by 1994 c. 39, s. 180(1), Sch. 13 para. 100(9)(h)(ii) (with s. 128(2)); S.I. 1996/323, art. 3
29SSave as otherwise expressly provided, the provisions of this Schedule in their application to money borrowed before the commencement of this Act by a local authority under a local enactment shall be subject to the provisions of such local enactment so far as inconsistent with the provisions hereof.
[F830SNothing in this Schedule shall affect the power of a council having a common good to borrow on the security of the common good or any loan secured thereon.]
Textual Amendments
F8Sch. 3 para. 30 substituted (1.4.1996) by 1994 c. 39, s. 180(1), Sch. 13 para. 100(9)(i) (with s. 128(2)); S.I. 1996/323, art. 4(1)(c)
31SIn this Schedule, unless the context otherwise requires—
“advance”, in relation to the loans fund and a borrowing account of a local authority, means the transfer of money by way of loan from the loans fund to the appropriate borrowing account in exercise of a statutory borrowing power;
“borrowing account”, in relation to a local authority, means an account of the authority relating to a purpose for which the authority have a statutory borrowing power;
[“ F9council tax” shall be construed in accordance with the provisions of section 70(1) of the Local Government Finance Act 1992;
“ F9council water charge” shall be construed in accordance with the provisions of paragraph 6 to Schedule 11 to the Local Government Finance Act 1992;]
[F10“community charges” shall be construed in accordance with section 7 (creation and purpose of community charges) of the Abolition of Domestic Rates Etc. (Scotland) Act 1987;
“ F10community water charges” shall be construed in accordance with paragraph 6 of Schedule 5 to the said Act of 1987;]
“fixed period”, in relation to any sum advanced to a borrowing account or to a relevant authority, means such period not exceeding 30 years from the date of the advance as the local authority determine or such other period as the Secretary of State may determine in any particular case or [F11, from time to time, for any class of cases or] for the purpose of any enactment;
“loans fund” means the loans fund established under this Schedule;
“mortgage” means a deed containing an assignation by way of security of the funds, rates and revenues of a local authority;
“relevant authority” means any authority to whom a local authority may make a loan under paragraph 10 or 11 above;
“security”, in relation to a local authority, means a mortgage, a bond, a deposit receipt or other document of debt issued by the authority and the security created thereby (including stock created by the authority or a certificate in respect of such stock) by or under any enactment, but does not include . . . F12 a heritable security or other deed of security or document of debt affecting the common good of an islands area or district;
“statutory borrowing power” means any power to borrow money conferred on a local authority by or under any enactment, but does not include the power of an islands or district council to borrow for the purposes of the common good;
“trustee securities” means any security in which trustees are for the time being authorised by law to invest trust money.
Textual Amendments
F9Definitions in Sch. 3 para. 31 of "council tax" and "council watercharge" inserted (1.4.1993) by Local Government Finance Act 1992 (c. 14), s. 117(1), Sch. 13 para. 44(d) (with s. 118(1)(2)(4)); S.I. 1993/575, art. 2(c).
F10Definitions in Sch. 3 para. 31 of "community charges" and "community watercharges" (which were inserted by Abolition of Domestic Rates Etc. (Scotland) Act 1987 (c. 47), s. 6, Sch. 1 para. 36) repealed (1.4.1993) by Local Government Finance Act 1992 (c. 14), s. 117(2), Sch.14 (with s. 118(1)(2)(4)); S.I. 1993/575, art. 2(d).
F11Words inserted by Local Government (Miscellaneous Provisions) (Scotland) Act 1981 (c. 23, SIF 81:2), Sch. 3 para. 36(b)
F12Words repealed by Housing (Scotland) Act 1987 (c. 26, SIF 61), ss. 335, 339(2)(3), Sch. 23 para. 23(1)(b), Sch. 24