Part II DISTRIBUTION OF THE NET PROCEEDS OF THE NATIONAL LOTTERY

Control by the Secretary of State

I126 Directions to distributing bodies.

C1C2C191

A body shall comply with any directions given to it by the Secretary of State as to the matters to be taken into account in determining the persons to whom, the purposes for which and the conditions subject to which the body distributes any money under section 25(1).

C3C202

The Trustees of the National Heritage Memorial Fund shall comply with any directions given to them by the Secretary of State as to the matters to be taken into account in determining the purposes for which and the conditions subject to which the Trustees apply any money under section 25(4).

C43

A body shall comply with any directions that the Secretary of State considers it appropriate to give the body for securing the proper management and control of money paid to the body under section 24.

F1C53A

In exercising any power under section 25A, a body which distributes money under section 25(1) shall comply with any directions given to it by the Secretary of State.

C64

Directions under subsection (3) F2or (3A) may in particular require a body—

a

to obtain the consent of the Secretary of State before doing anything specified, or of a description specified, in the directions;

b

to provide the Secretary of State at times specified by him with such information as he may require.

F34A

Directions under subsection (3A) may in particular—

a

impose limits on the amount of money which may be distributed by a body under section 25(1) by virtue of decisions made on its behalf by bodies or persons not falling within section 25A(2), and

b

require a body, before appointing any body or person not falling within section 25A(2) to exercise on its behalf any function of making decisions concerning the distribution of money under section 25(1), to obtain the approval of the Secretary of State to its plans for making such appointments.

C7C2C215

The Secretary of State shall consult a body before giving any directions to it under this section.

F136

This section does not apply to the Big Lottery Fund.

F426A Directions to distributing bodies in or as regards Scotland

1

The functions of the Secretary of State–

a

under section 26(1), (3), (3A) F5 (4) F6 and (5) shall, as regards directions to–

i

any body specified in section 23(1) F7 whose functions exclusively or mainly relate to the am in Scotland; or

ii

any body specified in section 23(2) F8 whose functions exclusively or mainly relate to sport in Scotland; and

C8b

under section 26(3A) shall, as regards directions to any other body except–

i

any body specified in section 23(1) whose functions relate exclusively or mainly to the arts in any one of England, Wales or Northern Ireland; or

ii

any body specified in section 23(2) whose functions relate exclusively or mainly to sport in any one of England, Wales or Northern Ireland,

be treated as exercisable in or as regards Scotland and may be exercised separately.

2

Directions given to the National Lottery Charities Board or the New Opportunities Fund under section 26(1) or to the Trustees of the National Heritage Memorial Fund under section 26(2) may be made–

C9a

to apply to the whole of the United Kingdom and provide for all matters other than those to be provided specifically for Scotland in accordance with subsection (3); or

b

to apply only to Scotland and provide for the matters specified in subsection (3).

3

Directions given in accordance with subsection (2)(b) may, in relation to any distribution made for a purpose which does not concern reserved matters, provide for priorities and other matters to be taken into account in determining the persons to whom and the purposes for which the money available for distribution in Scotland is distributed and in determining conditions of distribution for the purpose of specific cases but may not provide for–

a

the total allocation of resources to Scotland or between Scotland and other parts of the United Kingdom; or

b

except in relation to any initiative specified in an order made under section 43B F9 which applies only in Scotland, the general conditions subject to which lottery money is distributed in accordance with directions applying to the whole of the United Kingdom.

C1027 Power to prohibit distribution in certain cases.

C111

Where subsection (2) applies, the Secretary of State may by order prohibit a body from distributing money under section 25(1) to a person specified in the order.

2

This subsection applies if at the time the order is made—

a

the person specified is a company of which the body, or a wholly-owned subsidiary of the body, is a member, or

b

the Secretary of State considers that the body is able (whether directly or indirectly) to control or materially to influence the policy of the person specified in carrying on any undertaking or performing any functions.

3

In subsection (2)—

a

“company” means a company formed and registered under the F14the Companies Act 2006 or a company to which F15any provisions of the Companies Acts (as defined in section 2(1) of that Act) apply as they apply to a company so formed and registered, and

b

“wholly-owned subsidiary” has the meaning given by F16section 1159 of that Act .

4

Where subsection (5) applies, the Secretary of State may give directions to a body—

a

prohibiting it from distributing money under section 25(1) to a person in Northern Ireland specified in the directions, or

b

requiring it to secure that any money distributed by it under section 25(1) to such a person is not applied for a purpose specified in the directions.

5

This subsection applies if at the time the directions are given the Secretary of State considers that—

a

a proscribed organisation for the purposes of the M1Northern Ireland (Emergency Provisions) Act 1991, or

b

any other organisation that appears to him to be concerned in terrorism in Northern Ireland or in promoting or encouraging it,

might directly or indirectly derive benefit from the distribution of money to the person specified.

6

In subsection (5) “benefit” includes benefit of a non-financial nature and, in particular, an enhancement of reputation.

7

A body may not disclose to any other person either the identity of any person specified in directions given to it under subsection (4) or any information that might lead to the identification of such a person.

C128

A body shall provide the Secretary of State with such information as he may require for the purpose of exercising his powers under this section in relation to the body.

F109

The function of the Secretary of State–

a

under subsection (1) to prohibit a body from distributing money; or

b

under subsection (8) to require information,

may, in relation to–

i

any body specified in section 23(1) whose functions exclusively or mainly relate to the arts in Scotland; or

ii

any body specified in section 23(2) whose functions exclusively or mainly relate to sport in Scotland,

be exercised separately.

C1328 Power to amend section 22.

1

The Secretary of State may by order amend section 22(3) so as to substitute different percentages for any of the percentages for the time being specified there.

2

Any amendment made under this section shall be such that—

a

no percentage lower than 5 per cent. is specified in section 22(3), and

b

the percentages specified in section 22(3) amount in total to 100 per cent.

3

Without prejudice to the generality of section 60(5), an order under this section may provide for sums that apart from the order would be held in the Distribution Fund for distribution by a particular body to be held in the Distribution Fund for distribution by another body specified in section 23.

29 Power to amend section 23.

C141

The Secretary of State may by order amend subsection (1), (2), (3) or (4) of section 23 so as—

a

to substitute a different body for any body for the time being specified in that subsection;

b

to add another body to the bodies or body for the time being specified in it;

c

to omit any body for the time being specified in it;

d

to substitute different percentages for any percentages for the time being specified in it.

2

Any amendment made under subsection (1) shall be such that the amended subsection—

a

provides for the whole of the sum mentioned in that subsection to be held for distribution by the one body specified in that subsection, or

b

provides for the whole of that sum to be held for distribution by the two or more bodies specified in that subsection and specifies, in relation to each of those bodies, what percentage of that sum is to be held for distribution by that body.

C153

The Secretary of State may by order provide that subsection (1), (2), (3) or (4) of section 23 shall, pending the making of an order amending that subsection under subsection (1),—

a

cease to have effect, or

C16b

have effect as if any of the bodies for the time being specified in it were omitted.

C174

Without prejudice to the generality of section 60(5)—

a

an order made under subsection (1) may provide for sums that apart from the order would be held in the Distribution Fund for distribution by a particular body to be held in the Distribution Fund for distribution by another body (being a body that on the coming into force of the order is specified in the subsection amended by the order);

b

an order made under subsection (3) may provide for sums that apart from the order would be held in the Distribution Fund for distribution by a particular body to be held in the Distribution Fund in the name of the Secretary of State, pending being held for distribution by another body in accordance with the order to be made under subsection (1).

C185

Without prejudice to the generality of subsection (1), the Secretary of State may exercise his powers under that subsection so as to remove from section 23 any body that has contravened or failed to comply with a requirement or prohibition imposed on it by or under section 26 or 27.

F116

The functions of the Secretary of State under this section shall, in so far as they relate to–

a

substitution of a different body for, or addition of another body to, the body specified in section 23(3) or (4) or omission of a body specified in either of those subsections; or

b

substitution of a different percentage for the total aggregate percentage specified as held in the Distribution Fund for–

i

any body or bodies specified in section 23(1) whose functions exclusively or mainly relate to the arts in Scotland, or

ii

any body or bodies specified in section 23(2) whose functions exclusively or mainly relate to sport in Scotland;

c

substitution of a different body for, or addition of another body to, any such body specified in section 23(1) or (2) as is mentioned in paragraph (b) above or omission of any such body specified in section 23(1) or (2); or

d

where more than one such body is specified in section 23(1) or (2), specification of the particular percentage held in the Distribution Fund for distribution by any one of those bodies,

be treated as exercisable in or as regards Scotland and may be exercised separately.

29AF12Reallocation of funds

1

This section applies where money is—

a

allocated for a purpose under section 22(3), and

b

held for distribution by a body under section 23.

2

The Secretary of State may by order provide for the money to be held for distribution by a different body specified in the order (without altering the purpose for which the money is allocated).

3

Before making an order under this section the Secretary of State shall consult—

a

each body mentioned in the order,

b

the National Assembly for Wales,

c

the Scottish Ministers,

d

the Northern Ireland Department of Culture, Arts and Leisure, and

e

such other persons (if any) as he thinks appropriate.