(1)The Secretary of State may make arrangements—
(a)with a local authority to which this section applies; or
(b)with any other body,
for the making on his behalf by members of the staff of any such authority or body of payments on account of benefits to which section 5 above applies in circumstances corresponding to those in which the Secretary of State himself has the power to make such payments under subsection (1)(r) of that section; and a local authority to which this section applies shall have power to enter into any such arrangements.
(2)A payment under any such arrangements shall be treated for the purposes of any Act of Parliament or instrument made under an Act of Parliament as if it had been made by the Secretary of State.
(3)The Secretary of State shall repay a local authority or other body such amount as he determines to be the reasonable administrative expenses incurred by the authority or body in making payments in accordance with arrangements under this section.
(4)The local authorities to which this section applies are—
(a)a local authority as defined by section 270(1) of the M1Local Government Act 1972, other than a parish or community council;
(b)the Common Council of the City of London; and
(c)a local authority as defined in section 235(1) of the M2Local Government (Scotland) Act 1973.