2021 No. 1166 (W. 288)
The General Power of Competence (Commercial Purpose) (Conditions) (Wales) Regulations 2021
Made
Coming into force
The Welsh Ministers make the following Regulations in exercise of the powers conferred upon them by section 28(4), 28(5)(b) and 28(6)(c) of the Local Government and Elections (Wales) Act 20211.
In accordance with section 174(5)(b) of that Act, a draft of this instrument has been laid before, and approved by a resolution of, Senedd Cymru.
In accordance with section 28(7) of that Act, the Welsh Ministers have consulted such persons as appear to the Welsh Ministers likely to be affected by these Regulations.
Title, commencement and interpretationI11
1
The title of these Regulations is the General Power of Competence (Commercial Purpose) (Conditions) (Wales) Regulations 2021 and they come into force on 1 November 2021.
2
In these Regulations—
-
“the 2021 Act” (“Deddf 2021”) means the Local Government and Elections (Wales) Act 2021;
-
“authority” (“awdurdod”) means a principal council within the meaning of section 171(1) of the 2021 Act;
-
“company” (“cwmni”) means a company within the meaning of section 27(4) of the 2021 Act;
-
“the general power” (“y pŵer cyffredinol”) means the general power of competence conferred on an authority by section 24 of the 2021 Act.
Conditions to be met before exercising the general power to do things for a commercial purposeI22
1
Before exercising the general power to do things for a commercial purpose, an authority must—
a
prepare a business case in support of the proposed exercise of the general power; and
b
approve that business case.
2
A “business case” under regulation 2(1) means a comprehensive statement as to—
a
the aims and objectives of the proposed exercise of the general power;
b
the costs, investments and other resources required to achieve those aims and objectives;
c
the financial outcomes that are expected to be achieved by the proposed exercise of the general power;
d
any other relevant outcomes that are expected to be achieved by the proposed exercise of the general power;
e
any risks associated with the proposed exercise of the general power including an assessment of the severity of those risks, and any actions that the authority proposes to take to mitigate those risks;
f
the impact (including on the terms and conditions of employment) on any staff that it intends to supply to a company through which it is exercising the general power to do things for a commercial purpose; and
g
the intended arrangements for the staffing of the company through which it is exercising the general power to do things for a commercial purpose, including the proposed terms and conditions of employment of any staff to be employed.
Publication of business caseI33
An authority must publish any business case approved in accordance with regulation 2(1)(b) as soon as reasonably practicable.
Requirement to recover costs etcI44
An authority must recover the costs of any accommodation, goods, services, staff or any other thing that it supplies to a company through which it is exercising the general power to do things for a commercial purpose, from that company.
(This note is not part of the Regulations)