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SCHEDULE 12E+WRestraints on transactions and recruitment etc. by merging councils and restructuring councils

Directions: consequences of contraventionE+W

5(1)An acquisition or disposal made in contravention of a direction given under paragraph 1 is void.E+W

(2)A contract (including a contract for employment) or agreement entered into in contravention of a direction given under paragraph 1 is unenforceable.

(3)A grant or other financial assistance given, or a loan made, in contravention of a direction given under paragraph 1 is repayable.

(4)If a merging council or restructuring council includes financial reserves in a calculation under section 32 of the Local Government Finance Act 1992 (c. 14) in contravention of a direction given under paragraph 1, the council is to be treated for the purposes of section 30(8) of that Act as not having made the calculations required by Chapter 3 of Part 1 of that Act.

Commencement Information

I1Sch. 12 para. 5 in force at 21.1.2021 for specified purposes, see s. 175(1)(f)(2)(b)(ii)(m)(7)

I2Sch. 12 para. 5 in force at 1.4.2021 in so far as not already in force by S.I. 2021/297, art. 2(j)