The Local Authorities (Capital Finance) (Rate of Discount for 1998/99) Regulations 1998

Made: 3rd March 1998

Laid before Parliament: 10th March 1998

Coming into force: 1st April 1998

The Secretary of State for the Environment, Transport and the Regions, as respects England, and the Secretary of State for Wales, as respects Wales, in exercise of the powers conferred on them by section 49(2) of the Local Government and Housing Act 1989¹, and of all other powers enabling them in that behalf, hereby make the following Regulations:

1

These Regulations may be cited as the Local Authorities (Capital Finance) (Rate of Discount for 1998/99) Regulations 1998 and shall come into force on 1st April 1998.

2

The percentage rate of discount prescribed for the financial year beginning on 1st April 1998 for the purposes of defining “r” in section 49(2) of the Local Government and Housing Act 1989 shall be 8.8 per cent.

Signed

Signed by authority of the Secretary of State for the Environment, Transport and the Regions.

Hilary Armstrong — Minister of State, — Department of the Environment, Transport and the Regions — 2nd March 1998

Signed by authority of the Secretary of State for Wales.

Win Griffiths — Parliamentary Under-Secretary of State, Welsh Office — 3rd March 1998

Explanatory note

(This note is not part of the Regulations)

Part IV of the Local Government and Housing Act 1989 makes provision for the capital finance of local authorities. Section 49(2) sets out a formula for determining for the purposes of Part IV the value of the consideration falling to be given by a local authority under a credit arrangement in any financial year after the one in which the arrangement comes into being. The percentage rate of discount prescribed for a financial year is one of the factors referred to in the formula. For the financial year beginning on 1st April 1998 these Regulations prescribe 8.8 per cent. which is 0.1 per cent. less than the rate of discount prescribed for 1997/98.

Footnotes