Section 137 of the Local Government Act 1972 (power of local authorities to incur expenditure for certain purposes not otherwise authorised) shall be amended in accordance with subsections (2) to (8) below and, accordingly, after the coming into force of this section, shall have effect as set out in Schedule 2 to this Act.
In subsection (1), after the words "in the interests of" there shall be inserted ; after the words "incur any expenditure" there shall be inserted and at the end there shall be added the words" and will bring direct benefit to "" (a) "
After subsection (1) there shall be inserted the following subsection—
Subsections (2A) and (2B) (which relate to the giving of financial assistance to persons carrying on commercial or industrial undertakings) shall cease to have effect and, in subsection (2C), paragraph (a) (which relates to publicity on the promotion of the economic development of the authority's area) shall also cease to have effect.
In subsection (3) (contributions permitted to charitable and public service funds etc.),—
In subsection (4) (expenditure not to exceed the product of a 2p rate) for the words following "not exceed" there shall be substituted
After subsection (4) there shall be inserted the following subsections—
In subsection (4B) (amounts deductible in determining expenditure under the section) for paragraph (a) there shall be substituted the following paragraph—
In section 83(3) of the Local Government (Scotland)Act 1973 (contributions permitted to charitable and public service funds etc.), at the end of paragraph (c) there shall be added ." or by such a person or body as is referred to in section 137(3)(c) of the Local Government Act 1972 "