Statutory Instruments
1997 No. 934

LOCAL GOVERNMENT, ENGLAND AND WALES
WALES
The Local Government Act 1988 (Defined Activities) (Housing Management) (Exemptions) (Wales) Order 1997

Made
17th March 1997

Laid before Parliament
20th March 1997

Coming into force
18th April 1997

The Secretary of State for Wales in exercise of the powers conferred upon him by sections 2(9) and 15(5) and (7) of the Local Government Act 1988(1), and of all other powers enabling him in that behalf, hereby makes the following Order:—

Citation, commencement and application

1.—(1) This Order may be cited as the Local Government Act 1988 (Defined Activities) (Housing Management) (Exemptions) (Wales) Order 1997 and shall come into force on 18th April 1997.

(2) This Order applies only in relation to a county or county borough council in Wales.

Interpretation

2.  In this Order—

“the Act” means the Local Government Act 1988;

“the 1985 Act” means the Housing Act 1985(2);

“council” means a county or county borough council in Wales(3);

“house” has the same meaning as in Part II of the 1985 Act but does not include—

(a)
hostels as defined in section 622 of the 1985 Act, or

(b)
flats in relation to which the right to buy under Part V of the 1985 Act has been exercised;

“housing management work” means, in relation to a council, work of any description falling within the defined activity mentioned in section 2(2)(h) of the Act (housing management)(4) other than work carried out under a works contract in relation to which that council were a bidding authority to which section 4 of the Act (works contracts: restrictions) applies;

“housing stock” means the number of houses provided by a council under Part II of the 1985 Act;

“relevant organisation” means a tenant management organisation within the meaning of section 27AB(8) of the 1985 Act (management agreements with tenant management organisations)(5); and

“year” means the period of twelve months beginning with 1st April.

Exemption in relation to housing stock

3.  In the year starting on 1st April 1998 and in any subsequent year housing management work carried out by a council shall not be treated as a defined activity so long as, on 1st April in the immediately preceding year, the housing stock of that council is not more than 2500.

Exemption in relation to tenant management organisations

4.  Housing management work carried out by a council shall not be treated as a defined activity so long as each of the conditions in article 5 is fulfilled.

The conditions

5.—(1) The first condition is that the housing management work is being carried out in relation to houses in respect of which a council has delegated some or all of its housing management functions to a relevant organisation.

(2) The second condition is that such work is carried out by staff employed by the council who are under the direction of the committee or board of directors of the relevant organisation.

(3) The third condition is that such work is being carried out before—

(a)1st April 2003 in the case of a council specified in Part I of Schedule 1 to this Order;

(b)1st July 2003 in the case of the council specified in Part II of the said Schedule 1; and

(c)1st April 2004 in the case of a council specified in Part III of the said Schedule 1.

6.  The Orders specified and numbered in the first and second columns of Schedule 2 to this Order are revoked to the extent specified in the third column.

Signed by authority of the Secretary of State for Wales

Gwilym Jones
Parliamentary Under Secretary of State, Welsh Office
17th March 1997

Article 5
SCHEDULE 1

Part I

Blaenau Gwent

Bridgend

Cardiff

Ceredigion

Isle of Anglesey

Merthyr Tydfil

Monmouthshire

Newport

The Vale of Glamorgan

Torfaen

Part II
Wrexham

Part III

Caerphilly

Carmarthenshire

Conwy

Denbighshire

Flintshire

Gwynedd

Neath Port Talbot

Pembrokeshire

Powys

Rhondda, Cynon, Taff

Swansea

Article 6

SCHEDULE 2REVOCATIONS

(1)
(2)
(3)

Order
Reference
Extent of Revocation

The Local Government Act 1988 (Defined Activities) (Exemptions) (Wales) Order 1988

S.I. 1988/1469

In article 3 paragraphs (1A) and (2A)

The Local Government Act 1988 (Defined Activities) (Exemptions) (England and Wales) (Amendment) Order 1994
S.I. 1994/2296

In so far as it added the said article 3 paragraphs (1A) and (2A) to S.I. 1988/1469

Explanatory Note

(This note is not part of the Order)
Under Part I of the Local Government Act 1988 (Competition), work falling within certain defined activities may be carried out by defined authorities only if particular conditions are fulfilled.
Article 3 of the Order exempts from the requirements of Part I housing management work carried out by county and county borough councils in Wales so long as the number of houses provided by the council under Part II of the Housing Act 1985 (excluding hostels and also flats in relation to which to the right to buy has been exercised) is not more than 2500 on 1st April in the year immediately preceding a year beginning on 1st April. The exemption is with effect for the year beginning on 1st April 1998 and subsequent years.
Articles 4 and 5 exempt from the requirements of Part I housing management work carried out by a county or county borough council in Wales so long as it is carried out in relation to houses in respect of which such a council has delegated some or all of its housing management functions to a relevant organisation (defined in article 1(2) as a tenant management organisation within the meaning of section 27AB(8) of the Housing Act 1985); it is carried out by staff employed by the council who are under the direction of the committee or board of directors of the relevant organisation, and it is being carried out before 1st April 2003 in the case of some councils, (see Schedule 1, Part I to the Order); before 1st July 2003 in the case of Wrexham County Borough Council (see Schedule 1, Part II) and in the case of other councils (see Schedule 1, part III) before 1st April 2004.
The exemption for housing management work provided by S.I. 1988/1469 as amended by S.I. 1994/2296, (the conditions for which are concerned with the estimated gross cost of the defined activity for the financial year preceding the one in question) is revoked by article 6 and Schedule 2 in consequence of the new exemption based on housing stock level (article 3).


(1)
1988 c. 9. Section 6(3) was amended by paragraph 12 of Schedule 1 to the Local Government Act 1992 (c. 19).

(2)
1985 c. 68.

(3)
See the meaning of “local authority”, in relation to Wales, in subsection (2A) inserted in section 1 of the Act (defined authorities) by the Local Government Reorganisation (Wales) (Consequential Amendments) Order 1995 (S.I. 1995/115), for the reference to “county council” and “county borough council”.

(4)
Section 2(2)(h) was inserted by the Local Government Act 1988 (Competition) (Defined Activities) (Housing Management) Order 1994 (S.I. 1994/1671).

(5)
Section 27AB was inserted by section 132(1) of the Leasehold Reform, Housing and Urban Development Act 1993 (c. 28). The relevant regulations under section 27AB are the Housing (Right to Manage) Regulations 1994 (S.I. 1994/627).