1. This order may be cited as the Local Government (Supplementary Grants for Transport Purposes Specified Descriptions) Order 1984 and shall come into operation on the day after the day on which it is approved by resolution of each House of Parliament.

2. The Local Government (Supplementary Grants for Transport Purposes Specified Descriptions) (Wales) Order 1981 is hereby revoked.

3. In this order-

"the 1974 Act" means the Local Government Act 1974;

"the 1980 Act" means the Local Government, Planning and Land Act 1980; and

"year" means a period of twelve months beginning with 1st April.

4. For the year 1985-86 and each subsequent year no supplementary grants for transport purposes shall be paid by the Secretary of State to county councils in England or the Greater London Council under section 6 of the 1974 Act except in respect of their estimated expenditure of the description specified in Schedule 1 to this order.

5. For the year 1985-�86 and each subsequent year no supplementary grants for transport purposes shall be paid by the Secretary of State to county councils in Wales under section 6 of the 1974 Act except in respect of their estimated expenditure of the description specified in Schedule 2 to this order.

6. Section 6 of the 1974 Act (Supplementary grants for transport purposes) shall be amended as follows:

(a)in subsection (1) for the words from "to county councils" to the end of the subsection there shall be substituted-

"(a)to county councils in England and the Greater London Council in respect of their estimated expenditure in connection with-

(i)highways and

(ii)the regulation of traffic, and

(b)to county councils in Wales in respect of their estimated expenditure in connection with-

(i)public transport

(ii)highways and

(iii)the regulation of traffic

and in this section "transport matters" means, in England, the matters specified in paragraphs (a)(i) and (ii) above and, in Wales, the matters specified in paragraphs (b)(i) to (iii) above";

(b)in subsection (2) after the words "for the purposes of this section" there shall be inserted the words "as it applies in Wales";

(c)in subsection (4) the words "in England", and "the extent (if any) to which" and from "exceeds a level" to the end of the subsection shall be omitted;

(d)subsection (4A) shall be omitted; and

(e)for subsections (5) and (5A) there shall be substituted-

"(5) For the purposes of subsection (4) above-

(a)the Secretary of State may treat the estimated expenditure of the London borough councils and the Common Council of the City of London in connection with transport matters as forming part of the estimated expenditure in connection with those matters of the Greater London Council;

(b)the Secretary of State may treat the estimated expenditure of a district council in connection with transport matters as forming part of the estimated expenditure in connection with those matters of the council of the county in which that district is situated; and

(c)"accepted", in relation to the estimated expenditure of a council, means so much of their estimated expenditure as the Secretary of State may determine to be appropriate to be taken into account for the purposes of this section;

and in making a determination under paragraph (c) above, in relation to the estimated expenditure of a council, the Secretary of State shall have regard to the progress which appears to him to have been made by the council in formulating and implementing suitable policies to meet the needs of their area in connection with transport matters.".

Article 4

SCHEDULE 1DESCRIPTION OF EXPENDITURE (ENGLAND)

Expenditure in connection with highways and the regulation of traffic which is, in accordance with the provisions of Schedule 12 to the 1980 Act and the Local Government (Prescribed Expenditure) Regulations 1983, prescribed expenditure for the purposes of Schedule 2 to the London Government Act 1963 or Part VIII of the 1980 Act.

Article 5

SCHEDULE 2DESCRIPTION OF EXPENDITURE (WALES)

Expenditure in connection with public transport, highways and the regulation of traffic which is, in accordance with the provisions of Schedule 12 to the 1980 Act and the Local Government (Prescribed Expenditure) Regulations 1983, prescribed expenditure for the purposes of Part VIII of the 1980 Act.

EXPLANATORY NOTE

This order revokes the Local Government (Supplementary Grants for Transport Purposes Specified Descriptions) (Wales) Order 1981 and makes new provision specifying descriptions of expenditure for which supplementary grants for transport purposes shall be paid respectively in England and Wales under the provisions of section 6 of the Local Government Act 1974 from 1st April 1985 onwards.

In England the descriptions relate only to capital expenditure on highways and the regulation of traffic. In Wales the descriptions relate only to capital expenditure on public transport, highways and the regulation of traffic.

The order also makes amendments to section 6 of the 1974 Act which are consequential upon the specification in the order of descriptions of expenditure.