Statutory Instruments
1989 No. 2017
WATER, ENGLAND AND WALES
The Water Reorganisation (Capital Allowances) Order 1989
Coming into force
15th November 1989
The Secretary of State for Wales, in relation to the successor company nominated by him, and the Secretary of State for the Environment, in relation to the other successor companies, in exercise of the powers conferred on them by section 95(1) and (2) of the Water Act 1989() and with the consent of the Treasury, hereby make the following Order:-�
Citation, commencement and interpretation
1.-(1) This Order may be cited as the Water Reorganisation (Capital Allowances) Order 1989 and shall come into force on 15th November 1989.
(2) In this Order "the Act" means the Water Act 1989.
Writing-down allowances -� industrial buildings and structures
2.-(1) The amount specified in column (2) of Part I or Part II of Schedule 1 to this Order in relation to a successor company (being a company wholly owned by the Crown) shall be taken, for the purposes of subsection (3) of section 2 of the Capital Allowances Act 1968() (writing-down allowances), to be the residue on the transfer date of expenditure in relation to which the property vested in that company in accordance with a scheme under Schedule 2 to the Act and described in column (1) of the said Part I or Part II is a relevant interest for the purposes of the said section 2.
(2) The period specified in column (3) of Part I or Part II of Schedule 1 in relation to a successor company shall be treated, for the purposes of the said section 2, and in relation to the property vested and described as mentioned in paragraph (1), as the part of the period of 25 or, as the case may be, 50 years which is unexpired on the transfer date.
Writing-down allowances -� machinery and plant
3. For the purposes of section 95(2) of the Act, each successor company (being a company wholly owned by the Crown) shall be treated as having incurred on the transfer date capital expenditure of the amount specified in relation to that company in column (2) of Schedule 2 to this Order in respect of the deemed acquisition for the purposes for which they are used by that company on and after that date of the motor cars, plant and machinery vested in it in accordance with a scheme under Schedule 2 to the Act and described in column (1) of Schedule 2 to this Order.
Peter Walker
Secretary of State for Wales
30th October 1989
Chris Patten
Secretary of State for the Environment
31st October 1989
We consent,
Stephen Dorrell
David Lightbown
Two of the Lords Commissioners of Her Majesty's Treasury
1st November 1989
Article 2
SCHEDULE 1WRITING-DOWN ALLOWANCES -� INDUSTRIAL BUILDINGS AND STRUCTURES
A. Anglian Water Services Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Rutland Dam, Sykes Lane, Empingham, Near Oakham, Rutland | 15,467 | 12 |
| Caldecote Lake, Buckinghamshire | 6,230 | 20 |
| Alton Dam, Holbrook Road, Stutton, Ipswich, Suffolk | 4,531 | 13 |
| Grafham Reservoir, Perry, Huntingdon, Cambridgeshire | 1,353 | 2 |
| Riby St. pumping station, Grimsby, South Humberside | 509 | 24 |
| Heigham Water Treatment Works, modernisation, Heigham Street, Norwich | 471 | 24 |
| Alton Water Treatment Works, Holbrook Road, Stutton, Ipswich, Suffolk | 430 | 22 |
| River Ancholme Intake transfer and treatment scheme, Brigg, South Humberside | 394 | 12 |
| Tilbury Sewage Treatment Works, secondary treatment plant, Fort Road, Tilbury, Essex | 243 | 23 |
| Wing Water Treatment Works, Morcott Road, Wing, Oakham, Rutland, Leicestershire | 242 | 13 |
| Pyewipe Pumping Station, Grimsby, South Humberside | 237 | 18 |
| Cotton Valley Sewage Treatment Works (Stage 2), Pineham, Milton Keynes | 173 | 24 |
| Cotton Valley Sewage Treatment Works (Stage 1), Pineham, Milton Keynes | 155 | 12 |
| Boston Sewage Treatment Works, Blue Anchor Bight, Boston, Lincolnshire | 140 | 15 |
| March Sewage Treatment Works, Creek Fen, March, Cambridgeshire | 130 | 15 |
| Spalding Sewage Treatment Works, West Marsh Road, Spalding, Lincolnshire | 111 | 16 |
| Bedford Sewage Treatment Works, Summerhouse Hill, Meadow Lane, Cardington, Bedfordshire | 87 | 19 |
| Wisbech Sewage Treatment Works, River Road, West Walton, Wisbech, Cambridgeshire | 83 | 15 |
| Southend Sewage Treatment Works extension, Eastern Avenue, Southend-on-Sea, Essex | 60 | 24 |
| Chelmsford Sewage Treatment Works extension, Brookend Road, Chelmsford, Essex | 50 | 24 |
| Grimsby outfall -� Humber estuary | 37 | 19 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £49,548,000 | 10 |
B. Dwr Cymru Cyfyngedig
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Wye-Usk transfer pipeline and facilities at Court Farm, Cwmbran, Newport, Gwent | 520 | 22 |
| Eign Sewage Treatment Works, Rotherwas, Hereford | 405 | 12 |
| Cilfynydd Sewage Treatment Works, Pontypridd, Mid Glamorgan | 145 | 16 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £47,192,000 | 10 |
C. Northumbrian Water Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Dams at Kielder and transfer works to the Wear and Tees from the Tyne Valley | 33,402 | 18 |
| Tyneside Sewerage Scheme, Tyne and Wear | 10,890 | 18 |
| Portrack Sewage Treatment Works, Stockton, Cleveland | 1,444 | 20 |
| Langbaurgh Regional Sewerage Scheme and Sewage Treatment Works at Marske, Cleveland | 690 | 23 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £9,922,000 | 10 |
D. North West Water Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| River Lune intake and pipeline to Abbeystead outfall into River Wyre, Lancashire | 1,889 | 19 |
| Prescot Reservoir, 107 St. Helens Road, Prescot, Merseyside | 1,512 | 18 |
| Sewage Treatment Works at Hyde and Dukinfield | 775 | 22 |
| Hoscar Sewage Treatment Works, Deans Lane, Hoscar, nr. Ormskirk | 619 | 11 |
| Whaley Bridge Sewage Treatment Works extension, Bridgemont, Stockport | 293 | 19 |
| Oldham to Davyhulme sludge pipeline | 254 | 21 |
| Eccles Treatment Works, Peel Green Road, Eccles, Manchester | 244 | 17 |
| Draw off works and aqueduct from Haweswater to Watchgate Water Treatment Works, Cumbria | 239 | 14 |
| Anchorsholme Sea Outfall and pumping plant | 138 | 14 |
| Pipeline from Davyhulme to Hollins Green | 98 | 22 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £77,687,000 | 10 |
E. Severn Trent Water Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Foremark Reservoir, Milton nr Derby | 3,972 | 14 |
| Bamford Sewage Treatment Works, Salter Gate Lane, Bamford nr. Sheffield | 450 | 24 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £39,573,000 | 10 |
F. Southern Water Services Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Headworks and pumping station, Ryde, Isle of Wight | 1,693 | 24 |
| Sewage Treatment Works (Phase 1), Newgate Lane, Peel Common | 1,018 | 17 |
| Water Treatment Works, River Rother, Hardham | 974 | 20 |
| Sewage Disposal Works, Botolphs Bridge Road, West Hythe | 384 | 24 |
| Pumping station, Bexhill Road | 371 | 24 |
| Sewage Treatment Works, North of Christs Hospital, Horsham | 349 | 14 |
| Sewage Treatment Works, Bury Road, Marchwood | 181 | 16 |
| Sewage Treatment Works (Phase 2), Newgate Lane, Peel Common | 121 | 19 |
| Foul drainage pumping station, South of Rock-a-Nore Road, Hastings | 58 | 22 |
| Pumping station, East Cowes Road, Isle of Wight | 42 | 24 |
| Pumping station, adjacent Tanners Bridge, Sellinge | 31 | 24 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £31,488,000 | 10 |
G. South West Water Services Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Wimbleball Lake, Brompton Regis, Somerset | 12,388 | 15 |
| Colliford Dam, St Neot, Cornwall | 4,781 | 20 |
| Pynes Water Treatment Works uprating, Upton Pyne, Exeter, Devon | 1,771 | 21 |
| Tavy interim supply, pumping station and upgrading treatment works, North Plymouth, Devon | 1,293 | 21 |
| Sewerage system and pumping station, Totnes, Devon | 447 | 20 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £13,015,000 | 10 |
H. Thames Water Utilities Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Fobney Development Water Treatment Works | 4,288 | 18 |
| Datchett Reservoir, Staines, Middlesex | 4,159 | 11 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £49,569,000 | 10 |
I. Wessex Water Services Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Weymouth and Portland Main Drainage Works serving Weymouth and Portland and leading to new Long Sea Outfall | 2,606 | 22 |
| Holdenhurst Sewage Treatment Works extension, Riverside Drive, Castle Lane, Bournemouth | 902 | 20 |
| Weymouth Headworks and Long Sea Outfall Ryemead Lane, Wyke Regis, Weymouth to Chesil Beach (offshore) | 447 | 19 |
| Southern Foul Water Interceptor System, Bristol | 39 | 20 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £2,581,000 | 10 |
J. Yorkshire Water Services Limited
PART Ispecific property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue £000 | Unexpired period (years) |
|---|
| Grimwith Reservoir and water supply facility, Hebden, Skipton, N. Yorkshire | 18,012 | 22 |
| River intake and water treatment works, Loftsome Bridge, Wressle | 10,827 | 16 |
| New depot, Western Way, Halifax Road, Bradford | 3,597 | 23 |
| Water Treatment Works, Manchester Road, Langsett, Stocksbridge, Sheffield | 3,011 | 22 |
| River intake and water treatment works, Moor Monkton, Yorkshire | 1,349 | 15 |
| Water supply facility and mains, Elvington Treatment Works, York | 1,133 | 10 |
| Blackmoorfoot Water Treatment Works, Gillroyd Lane, Linthwaite, Huddersfield | 804 | 22 |
| Sewage Treatment Works, Woodhouse Mill, Retford Road, Sheffield | 703 | 15 |
| Extension to sewage treatment works, Caldervale Road, Wakefield | 513 | 21 |
| Sewage Treatment Works, Alsing Road, Sheffield | 497 | 20 |
| Filter distribution system, Ainsbury House, Idle, Bradford | 485 | 20 |
| Reconstruction of sewage treatment works, Ashgrove Road, Huddersfield | 288 | 16 |
| Sewage Treatment Works, Ouston Lane, Tadcaster | 281 | 19 |
| Long Sea Outfall, South Marine Drive, Bridlington, Humberside | 210 | 19 |
PART IIother property
| (1) | (2) | (3) |
|---|
| Description of property | Amount of Residue | Unexpired period (years) |
|---|
| All other property qualifying as an industrial building or structure within the meaning of Chapter 1 of Part I of the Capital Allowances Act 1968. | £22,115,000 | 10 |
Article 3
SCHEDULE 2WRITING-DOWN ALLOWANCES -� MACHINERY AND PLANT
A. Anglian Water Services Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| 45 motor cars, of which the estimated value of each exceeds £8,000 | £454,890 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant, other than that referred to in Part I above, to which Chapter I of Part III of the Finance Act 1971() applies. | £1,148,970,000 |
B. Dwr Cymru Cyfyngedig
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| 30 motor cars, of which the estimated value of each exceeds £8,000 | £291,762 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant, other than that referred to in Part I above, to which Chapter I of Part III of the Finance Act 1971 applies. | £451,096,000 |
C. Northumbrian Water Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| One motor car | £15,205 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant, other than that referred to in Part I above, to which Chapter I of Part III of the Finance Act 1971 applies. | £344,413,000 |
D. North West Water Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| Four motor cars, of which the estimated value of each exceeds £8,000. | £71,000 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant, other than that referred to in Part I above, to which Chapter I of Part III of the Finance Act 1971 applies. | £1,076,021,000 |
E. Severn Trent Water Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| 30 motor cars, of which the estimated value of each exceeds £8,000 | £330,009 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant, other than that referred to in Part I above, to which Chapter I of Part III of the Finance Act 1971 applies. | £1,018,035,000 |
F. Southern Water Services Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| 9 motor cars, of which the estimated value of each exceeds £8,000 | £84,329 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant, other than that referred to in Part I above, to which Chapter I of Part III of the Finance Act 1971 applies. | £559,441,000 |
G. South West Water Services Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| 8 motor cars, of which the estimated value of each exceeds £8,000 | £101,653 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant, other than that referred to in Part I above, to which Chapter I of Part III of the Finance Act 1971 applies. | £281,520,000 |
H. Thames Water Utilities Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| None | Nil |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant, other than that referred to in Part I above, to which Chapter I of Part III of the Finance Act 1971 applies. | £1,031,962,000 |
I. Wessex Water Services Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| 31 motor cars, of which the estimated value of each exceeds £8,000 | £302,721 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant other than that referred to in Part I above to which Chapter I of Part III of the Finance Act 1971 applies. | £460,623,000 |
J. Yorkshire Water Services Limited
PART Imotor cars
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| 12 motor cars, of which the estimated value of each exceeds £8,000 | £135,178 |
PART IIother machinery and plant
| (1) | (2) |
|---|
| Description | Amount of capital expenditure |
|---|
| All machinery and plant other than that referred to in Part I above to which Chapter I of Part III of the Finance Act 1971 applies. | £783,817,000 |
Explanatory Note
Section 2(3) of the Capital Allowances Act 1968 provides for the calculation of the writing-down allowance in respect of a period which ends after the sale of the relevant interest in an industrial building or structure by reference to the residue of certain expenditure. The writing-down allowance for a chargeable period is the residue reduced in the proportion which the length of the chargeable period bears to the unexpired part, at the date of sale, of the period of 25 or, in certain cases, 50 years beginning with the date on which the building or structure was first used.
Article 2(1) of this Order and Schedule 1 specify for the purposes of section 2 of the 1968 Act the amount that is to be taken as the residue in relation to industrial buildings and structures which vested on the transfer date (1st September 1989), in accordance with schemes made under Schedule 2 to the Water Act 1989, in companies which succeeded the water authorities.
Article 2(2) and Schedule 1 specify in relation to those buildings and structures the period which is to be treated as the unexpired part of the period of 25 or, as the case may be, 50 years.
Article 3 of the Order and Schedule 2 specify the amount of capital expenditure that the successor companies are deemed to have incurred on the transfer date in respect of machinery and plant which vested in them in accordance with Schedule 2 schemes. Those amounts are relevant for the purpose of calculating the capital allowances in respect of machinery and plant for which Chapter I of Part III of the Finance Act 1971 provides.
