Legalize / United Kingdom / Public General Act

Railways Act 2005

Type Public General Act

Publication 2005-04-07

Last updated 2025-05-18

State In force

Department Statute Law Database

Source legislation.gov.uk

articles Not indexed

Reform history JSON API

For the last sub-paragraph of paragraph 14 (notice of relevant changes made by Competition Commission) substitute—

(6) As soon as practicable after making relevant changes under this paragraph, the Competition Commission must send a copy of those relevant changes— (a) where the Secretary of State was given notice of the review under paragraph 1C, to the Secretary of State; (b) where the Scottish Ministers were given notice of the review under that paragraph, to those Ministers; and (c) in each of those cases, to the Office of Rail Regulation.

Information to be provided to Competition Commission with proposal for relevant changes

10

(1) In sub-paragraph (3) of paragraph 15 (information to be provided to Competition Commission for purpose of their functions under paragraphs 13 and 14), after the words “Competition Commission”, in the second place where they occur, insert “ (in addition to the information provided in accordance with paragraph 12(5) and (6)) ”.

(2) In sub-paragraph (4) of that paragraph, for “any information” substitute—

(a) every revision of which they have been given notice under paragraph 12(6) of information provided under paragraph 1D; and (b) all information

Commencement of Schedule

11

(1) Subject to sub-paragraph (2), this Schedule does not apply in relation to any review in relation to which the Office of Rail Regulation has given a review notice under paragraph 4 of Schedule 4A to the 1993 Act before the commencement of this Schedule.

(2) Where—

(a) the Office of Rail Regulation gave a review notice before the commencement of this Schedule in any case, and

(b) that Office, following the making of objections in that case (whether before or after that commencement), is considering whether to give a new review notice under paragraph 8 of Schedule 4A to the 1993 Act or to make a reference to the Competition Commission under paragraph 9 of that Schedule,

that Office, according to what it thinks fit, may either undertake a new access charges review in accordance with that Schedule as amended by this Schedule or proceed immediately to issue the new review notice or to make the reference to that Commission.

SCHEDULE 5

Part 1 — Introductory

1

In this Schedule—

“accounting records” includes all books, papers and other records of the PC relating to—the accounts which it is required to keep; ormatters dealt with in those accounts;

“financial year” means—the period beginning with the establishment of the PC and ending with the following 31st March; ora subsequent period of twelve months ending with 31st March;

“member” means the chairman or another member of the PC;

“the PC” means the Passengers’ Council established by section 19(1).

Part 2 — Members and staff

Remuneration etc. of members

2

(1) The PC must pay to every member, other than the one appointed by the London Assembly, the remuneration and allowances that are provided for by the terms and conditions of his appointment.

(2) The London Transport Users' Committee must pay to the member appointed by the London Assembly the remuneration and allowances that are provided for by the terms and conditions of his appointment.

(3) The PC must pay, or make provision for paying, to or in respect of every member, other than the member appointed by the London Assembly, such sums by way of pensions or allowances as are payable in accordance with his terms and conditions of appointment.

(4) The London Transport Users' Committee must pay, or make provision for paying, to or in respect of the member appointed by the London Assembly such sums by way of pensions or allowances as are payable in accordance with his terms and conditions of appointment.

(5) If—

(a) a person ceases to be a member of the PC, and

(b) it appears to the Secretary of State that there are special circumstances that make it right for the person to receive compensation,

the PC must make a payment to that person of such amount as the Secretary of State determines.

Staff

3

The PC may employ such persons, on such terms and conditions (including terms and conditions as to remuneration), as it may determine.

4

(1) The PC may—

(a) pay such pensions, allowances or gratuities as it may determine to or in respect of persons who are or have been employees of the PC;

(b) make such payments as it may determine towards provision for the payment of pensions, allowances or gratuities to or in respect of such persons; or

(c) provide and maintain such schemes (whether contributory or not) as it may determine for the payment of pensions, allowance or gratuities to or in respect of such persons.

(2) The pensions, allowances or gratuities referred to in sub-paragraph (1) include pensions, allowances or gratuities by way of compensation in respect of loss of employment or loss or diminution of emoluments.

5

(1) The persons to whom section 1 of the Superannuation Act 1972 (c. 11) applies shall include employees of the PC.

(2) If an employee of the PC —

(a) is a participant in a scheme under section 1 of the Superannuation Act 1972 by reference to his employment by the PC, and

(b) becomes a member of the PC,

the Minister for the Civil Service may determine that his service as a member of the PC is to be treated for the purposes of the scheme as service as an employee of the PC.

(3) The PC must pay to the Minister for the Civil Service, at such times as he may direct, such sums as he may determine in respect of any increase attributable to sub-paragraph (1) or (2) in the sums payable out of money provided by Parliament under the Superannuation Act 1972.

(4) The Minister for the Civil Service may, to such extent and subject to such conditions as he thinks fit, delegate to the PC the function of administering a scheme under section 1 of the Superannuation Act 1972, so far as relating to employees of the PC.

(5) If he does so, the PC may authorise the carrying out of that function, to such extent and subject to such conditions as it may determine, by—

(a) a person nominated by it; or

(b) the employees of a person so nominated.

(6) Acts or omissions by or in relation to—

(a) a person nominated for the purposes of sub-paragraph (5), or

(b) an employee of a person so nominated,

must be treated for all purposes, so far as they are acts or omissions in or in connection with what he is authorised to carry out, as acts or omissions by or in relation to the PC.

(7) Sub-paragraph (6) does not apply for the purposes of—

(a) criminal proceedings against the nominated person (or an employee of his); or

(b) a contract between him and the PC so far as relating to the function.

Part 3 — Finance

Government grants

6

(1) The Secretary of State may make grants to the PC of such amounts as he may determine.

(2) The terms of the grants shall be such as the Secretary of State may determine.

Direction requiring payment to the Secretary of State

7

(1) The Secretary of State may give a direction to the PC requiring it to pay him a sum specified in the direction.

(2) Before giving a direction under sub-paragraph (1), the Secretary of State must consult—

(a) the Treasury; and

(b) the PC.

Accounts and audit

8

(1) The PC must—

(a) keep proper accounts and proper accounting records; and

(b) in respect of each financial year, prepare a statement of its accounts.

(2) Every statement of accounts prepared under sub-paragraph (1)(b) must—

(a) give a true and fair view of the PC's income and expenditure for the financial year in question and its state of affairs; and

(b) comply with every requirement which the Secretary of State has notified to the PC.

(3) The requirements notified under sub-paragraph (2)(b) may include, in particular, requirements relating to—

(a) the information to be contained in the statement;

(b) the manner in which that information is to be presented; and

9

(1) The statement of accounts and other accounts of the PC relating to each financial year must be audited by the Comptroller and Auditor General.

(2) The Comptroller and Auditor General must send the PC a copy of his report on the accounts audited under sub-paragraph (1).

(3) The PC must send the Secretary of State—

(a) a copy of the accounts audited under sub-paragraph (1); and

(b) the report of the Comptroller and Auditor General.

(4) The Secretary of State must lay a copy of the documents sent to him under sub-paragraph (3) before Parliament.

Part 4 — Financial framework and information

Financial framework

10

(1) The Secretary of State—

(a) must prepare, and

(b) may from time to time revise,

a document to be known as the PC's “financial framework”.

(2) The financial framework must specify rules and principles according to which the PC is to exercise and perform its powers and duties in relation to—

(a) financial matters; and

(b) matters relating to its employees.

(3) The PC must not carry out any of its functions in a manner which is inconsistent with its financial framework.

(4) The fact that a transaction entered into by the PC constitutes, or involves, a contravention of sub-paragraph (3) does not invalidate the transaction.

(5) Sub-paragraph (4) applies whether or not a person who entered into the transaction with the PC inquired whether the transaction constituted or involved a contravention of sub-paragraph (3).

Annual reports

11

(1) As soon as practicable after the end of each financial year, the PC must make a report on its activities during that year.

(2) In preparing its annual report the PC must have regard to the desirability of excluding from the report, so far as practicable—

(a) matters relating to the affairs of an individual which, in the opinion of the PC, are matters the publication of which would or might seriously and prejudicially affect the interests of that individual; and

(b) matters relating specifically to the affairs of a particular body of persons (whether corporate or unincorporate) which, in the opinion of the PC, are matters the publication of which would or might seriously and prejudicially affect the interests of that body.

(3) The PC must send a copy of every annual report under this paragraph to each of the following—

(a) the Secretary of State;

(b) the Scottish Ministers; and

(4) The PC may also arrange for a copy of its annual report for a financial year to be published in such manner as it considers appropriate.

(5) The Secretary of State must lay before Parliament a copy of every annual report a copy of which has been sent to him under this paragraph.

(6) The Scottish Ministers must lay before the Scottish Parliament a copy of every annual report a copy of which has been sent to them under this paragraph.

Information

12

The PC must give the Secretary of State information, advice and assistance about any matter in respect of which it has any functions if—

(a) the PC considers it appropriate to do so; or

(b) the Secretary of State asks the PC to do so in connection with the carrying out of any function of his.

Part 5 — Status and supplementary powers

Status

13

(1) The PC is not to be treated—

(a) as the servant or agent of the Crown; or

(b) as enjoying any status, immunity or privilege of the Crown.

(2) The property of the PC is not to be regarded as property of the Crown or as held on behalf of the Crown.

Supplementary powers

14

(1) The PC may do anything that appears to it to be likely to facilitate the carrying out of its functions, or to be conducive or incidental to the carrying out of those functions.

(2) The PC may make charges for services or facilities that it provides or makes available at a person's request and otherwise than in performance of a duty to do so.

Part 6 — Procedure

Regulation of procedure

15

(1) Subject to this paragraph and paragraph 16, the PC may regulate its own procedure.

(2) Sub-paragraph (1) includes power to make provision about quorums.

(3) The PC must meet when convened by the chairman.

(4) The chairman may convene a meeting of the PC whenever he thinks fit.

(5) The chairman must—

(a) convene meetings of the PC so that it meets at least twice a year; and

(b) convene a meeting whenever three members of the PC require him to do so.

(6) The PC must secure—

(a) that minutes are kept of the proceedings at every meeting of the PC; and

(b) that copies of those minutes are sent to the Secretary of State.

(7) The validity of proceedings of the PC is not to be affected by—

(a) a vacancy in its membership; or

(b) a defect in the appointment of a member.

Admission of the public to meetings

16

(1) Meetings of the PC must be open to the public; but the public must be excluded during any item of business that is confidential for the purposes of this paragraph.

(2) An item of business is confidential for the purposes of this paragraph where, if members of the public were to be present during that item, it is likely that information furnished in confidence to the PC by—

(a) the Office of Rail and Road, ...

(b) the Secretary of State, or

would be disclosed in breach of the obligation of confidence.

(3) An item of business is confidential for the purposes of this paragraph where the PC has resolved that—

(a) because of the confidential nature of the item, or

(b) for other special reasons stated in the resolution,

it is desirable in the public interest that the public be excluded during that item.

(4) An item of business is confidential for the purposes of this paragraph where, if members of the public were to be present during that item, it is likely that—

(a) there would be disclosed to them a matter relating to the affairs of an individual or relating specifically to the affairs of a particular body (whether corporate or unincorporate); and

(b) public disclosure of the matter would or might, in the opinion of the PC, seriously and prejudicially affect the interests of that individual or body.

(5) An item of business is confidential for the purposes of this paragraph where the circumstances—

(a) are specified for the purposes of this sub-paragraph in an order made by the Secretary of State; or

(b) are determined to be confidential for those purposes in accordance with an order so made.

(6) An order under sub-paragraph (5) is subject to the negative resolution procedure.

17

The PC must give such notice—

(a) of any meeting of the PC which is open to the public, and

(b) of the business to be taken at that meeting (other than items during which the public is to be excluded),

as it considers appropriate for the purpose of bringing the meeting to the attention of interested members of the public.

Local committees

18

(1) If the Secretary of State so directs, the PC must establish committees to advise it in relation to the carrying out of any or all of its functions in relation to particular areas.

(2) The members of a committee established under this paragraph are to be appointed by the PC.

(3) The PC may appoint such persons as it thinks fit and the membership of the committee may consist of or include persons who are not themselves members of the PC.

(4) The PC may regulate the procedure of a committee established under this paragraph.

(5) The PC may reimburse a member of a committee established under this paragraph who is not a member of the PC —

(a) for travelling expenses;

(b) for other out-of-pocket expenses not relating to loss of remuneration.

Execution of documents

19

(1) The application of the seal of the PC shall be authenticated by the signature of a member or employee of the PC whom it has authorised for the purpose (whether generally or specifically).

(2) Any document which the PC is authorised or required by or under any enactment to serve, make or issue may be signed on its behalf by a member or employee whom it has authorised for the purpose (whether generally or specifically).

(3) Every document purporting—

(a) to be an instrument made or issued by or on behalf of the PC, and

(b) to be duly executed under the seal of the PC, or to be duly signed or executed by a person authorised by the PC for the purpose,

shall be received in evidence and, unless the contrary is shown, treated without further proof as so made or issued.

(4) In this paragraph the reference to a signature includes a reference to a facsimile of a signature produced by any process and “signed” is to be construed accordingly.

(5) In this paragraph “enactment” includes an enactment comprised in an Act of the Scottish Parliament.

SCHEDULE 6

Members of LTUC to represent users of services in London railway area

1

In section 247(3)(b) of the Greater London Authority Act 1999 (c. 29) (members of LTUC appointed to represent railway users in particular area), for the words from “area for which” onwards substitute “ area for which the Committee fell, immediately before the repeal of section 2 of the Railways Act 1993 (Rail Passengers' Committees), to be treated as the Rail Passengers' Committee for the purposes specified in subsection (4) of that section ”.

General duty of LTUC to keep railway matters under review

2

Before section 253 of that Act insert—

(252A) (1) It shall be the duty of the Committee, so far as it appears to it expedient from time to time to do so— (a) to keep under review matters affecting the interests of the public in relation to railway passenger services provided wholly or partly within the London railway area; (b) to keep under review matters affecting the provision of station services within that area; (c) to make representations to, and to consult, such persons as it thinks appropriate about the matters mentioned in paragraphs (a) and (b); and (d) to co-operate with other bodies representing the interests of users of public passenger transport services provided wholly or partly within that area. (2) In this section— (a) references to the London railway area are references to the area for which the Committee fell, immediately before the repeal of section 2 of the Railways Act 1993 (Rail Passengers' Committees), to be treated as the Rail Passengers' Committee for the purposes specified in subsection (4) of that section; (b) references to railway passenger services include references to bus substitution services; and (c) subject to that, expressions used in this section and in Part 1 of the Railways Act 1993 have the same meanings in this section as in that Part.

Duty of LTUC to investigate matters

3

In that Act, after the section 252A inserted by paragraph 2 of this Schedule, insert—

(252B) (1) It shall be the duty of the Committee to investigate any matter relating to a relevant railway matter if— (a) it is the subject of a representation made to the Committee by a user or potential user of railway passenger services; (b) it is referred to the Committee by the Secretary of State, the Office of Rail Regulation, the Rail Passengers' Council, the London Assembly or Transport for London; or (c) it appears to the Committee that it is a matter that it ought to investigate. (2) A matter is a relevant railway matter for the purposes of subsection (1) if it relates to— (a) the provision of railway passenger services wholly or partly within the London railway area; or (b) the provision of station services within that area in a case in which the operator of the station is authorised by a licence under Part 1 of the Railways Act 1993. (3) The Secretary of State may also refer the following matters to the Committee for the purpose only of requiring the Committee to prepare a report on them— (a) matters relating to the quality of railway passenger services provided wholly or partly within the London railway area; and (b) matters relating to the quality of station services provided in that area. (4) The Committee must also assist the Secretary of State, to such extent and in such manner as he may require, in ascertaining whether the franchise operator in the case of a particular franchise agreement is attaining the standards set for the provision of the franchised services. (5) The Committee is not required to investigate a matter in a case falling within subsection (1)(a) if it appears to the Committee that the representation is frivolous or vexatious. (6) Subsection (2) of section 252A applies for the purposes of this section as it applies for the purposes of that section. (252C) (1) On investigating a matter under section 252B the Committee must, if it considers it appropriate to do so— (a) in every case, make appropriate representations to the person providing the service; (b) in the case of a service provided under a franchise agreement by a person other than the franchisee, make appropriate representations to the franchisee; and (c) in the case of a secured service (within the meaning of Part 4 of the Railways Act 2005), make appropriate representations to the Secretary of State. (2) In subsection (1) “appropriate representations” means representations about— (a) any matter appearing to the Committee to be relevant to the subject-matter of the investigation; and (b) any other matter to which a matter so appearing relates. (3) Subject to subsection (4), where the Committee— (a) having made representations under subsection (1), is of the opinion that it is unable to obtain a satisfactory resolution by that means, (b) on investigating a matter, has reason for believing that the holder of a licence under Part 1 of the Railways Act 1993 is contravening a condition of the licence, or is likely to do so, or (c) on investigating a matter, has reason for believing that a franchisee in relation to a franchise agreement is contravening the provisions of the agreement, or is likely to do so, the Committee must refer the matter to the Secretary of State (or if he referred it to the Committee, back to him) with a view to his exercising such of his powers as he considers appropriate in the circumstances of the case. (4) Subsection (3) does not apply in a case where representations under subsection (2) have been made to the Secretary of State. (5) If the Secretary of State considers that it would be more appropriate for a matter referred to him by the Committee under subsection (3) to be referred to the Office of Rail Regulation, he must— (a) refer it to that Office, or (b) if it was referred to the Committee by that Office, refer it back to that Office, with a view to that Office exercising such of its powers as it considers appropriate in the circumstances of the case. (6) The Committee must not— (a) include a proposal for the taking of any steps in representations made by it under this section, or (b) make a reference under this section to the Secretary of State by reason only of the failure of a person to take any steps, unless the test in subsection (7) is satisfied. (7) That test is satisfied if, on the basis of the information available to the Committee, it considers that, balancing each of the following against the other— (a) the costs of taking the steps, and (b) the benefits that will be enjoyed by persons in consequence of the taking of those steps, the expenditure involved represents good value for money. (8) In this section “franchise agreement” and “franchisee” have the same meanings as in Part 1 of the Railways Act 1993. (252D) (1) Where the Committee investigates a matter under section 252B— (a) it may prepare a report of its findings; and (b) it must do so if required to do so by the Secretary of State in relation to any matter falling within section 252B(3) that was referred to it by him for the purposes of that requirement. (2) The Committee must not include a proposal for the taking of any steps in a report prepared by it under this section unless, on the basis of the information available to it, it considers that, balancing each of the following against the other— (a) the costs of taking those steps, and (b) the benefits that will be enjoyed by persons in consequence of the taking of those steps, the expenditure involved represents good value for money. (3) The Committee— (a) must send a copy of every report prepared under this section to the Rail Passengers' Council; and (b) may publish the report; but the Committee may publish a report relating to findings on a matter referred to the Committee by the Secretary of State only if required to do so by him under this section. (4) Where— (a) the Committee prepares a report relating to a matter referred to it by the Secretary of State, but (b) the report is not a report that the Secretary of State has required under subsection (1)(b), the Committee must publish the report if it is required to do so by him. (5) The Secretary of State may arrange for the publication of any report by the Committee the preparation of which he has required under subsection (1)(b). (6) The publication of a report by the Committee or the Secretary of State may be in any manner that the Committee or (as the case may be) the Secretary of State thinks appropriate. (7) References in this section to a matter referred to the Committee by the Secretary of State include references to a matter in relation to which he has required the Committee's assistance under section 252B(4).

Power of Secretary of State to exclude matters from duties of LTUC

4

(1) In that Act, after the section 252D inserted by paragraph 3 of this Schedule insert—

(252E) (1) The Secretary of State may by order— (a) exclude services from one or more of the duties imposed by sections 252A to 252D; (b) provide that one or more of those duties applies to services of a particular class or description, particular services or services provided by a particular person only to such extent as is specified in the order; or (c) provide that one or more of those duties applies with specified modifications in the case of services of a particular class or description, particular services or services provided by a particular person. (2) Before making an order under this section the Secretary of State must consult the Committee and the Rail Passengers' Council. (3) The power to make exclusions by an order under this section includes— (a) power to exclude services of a particular class or description, particular services or services provided by a particular person; and (b) power to provide that services are excluded subject to compliance with specified conditions. (4) An order under this section may not revoke an exclusion except— (a) for breach of a condition; or (b) in accordance with the order that made it.

(2) In section 420(8) of that Act (orders subject to negative resolution procedure), after “section 242(10)” insert— “ section 252E; ”.

Duty of Rail Passengers' Council to refer matters to the LTUC

5

In section 76 of the 1993 Act (duties of Rail Passengers' Council), after subsection (2) insert—

(2A) If any matter falling within subsection (2)(a) appears to the Rail Passengers' Council to relate only to— (a) the provision of railway passenger services wholly within the London railway area (within the meaning of section 252A of the Greater London Authority Act 1999), or (b) the provision of station services within that area, that Council must refer the matter to the London Transport Users' Committee.

SCHEDULE 7

Introductory

1

A consultation under this Schedule about a proposal—

(a) must be initiated as follows; and

(b) thereafter must be carried out in accordance with the closures guidance.

Newspaper notification

2

(1) The person carrying out the consultation must publish a notice under this paragraph, in two successive weeks—

(a) in a local newspaper circulating in the area affected by the proposal; and

(b) in two national newspapers.

(2) The notice must set out—

(a) the proposal date;

(b) the other particulars of the proposal;

(i) the initial assessment, and

(ii) a summary of the results of that assessment,

are available for inspection, or from which a copy of that assessment and summary may be obtained;

(d) the fees payable for a copy of the assessment and summary;

(e) a statement that any representations about the proposal may be sent to the person carrying out the consultation within such period as may be specified in the notice.

(3) In the case of a consultation carried out about a proposal to which section 23, 24, 27, 28, 30 or 31 applies, the proposal date must be not less than six months after the notice is last published in a local newspaper for the purposes of sub-paragraph (1).

(4) The period specified under sub-paragraph (2)(e) must be a period ending no less than 12 weeks after the notice is last published in a local newspaper for the purposes of sub-paragraph (1).

Specific notification to particular persons

3

(1) The person carrying out the consultation must—

(a) send to every person specified in sub-paragraph (2) (apart from himself) both a copy of every notice published under paragraph 2 and a summary of the results of the initial assessment; and

(b) in such manner as he considers appropriate, consult such other persons (if any) as he thinks fit.

(2) Those persons are—

(a) in the case of a consultation for the purposes of section 22(7)(a), 25(6)(a), 26(7)(a) or 29(7)(a), the person making the proposal in question;

(b) in the case of a consultation for the purposes of—

(i) subsection (4)(b) of section 24,

(ii) subsection (3)(b) of section 27,

(iii) subsection (3)(b) of section 28,

(iv) subsection (3)(b) of section 30, or

(v) subsection (3)(b) of section 31,

the national authority for the purposes of that section;

(d) if the proposal affects Greater London, the Mayor of London;

(e) every Passenger Transport Executive whose area is affected by the proposal;

(f) every local authority in whose area there are persons living, working or studying who appear to the person carrying out the consultation to be persons affected by the proposal;

(g) the Passengers’ Council;

(h) if the proposal affects its area, the London Transport Users' Committee;

(i) every person designated by order made by the Secretary of State for the purposes of this Schedule as a body representing interests of railway passengers;

(j) every railway funding authority appearing to the person carrying out the consultation to be a party to financial arrangements that are or may be affected by the proposal;

(k) every person providing railway services who appears to the person carrying out the consultation to be affected by the proposal;

(l) every person providing station services in relation to a station affected by the proposal.

(3) The person carrying out the consultation must require every operator of a station in the area affected by the proposal to whom he sends a copy of a notice under sub-paragraph (1) to secure that a copy of it is published by being displayed at that station until the end of the interim period.

(4) An order under sub-paragraph (2)(i) is subject to the negative resolution procedure.

(5) In the case of a consultation carried out for the purposes of section 25, sub-paragraph (2) has effect with the omission of paragraph (j).

(6) In this paragraph “local authority”—

(a) in relation to England and Wales, means a county council or county borough council, a community council or a council for a district in an area for which there is no county council; and

(b) in relation to Scotland, has the same meaning as in the Local Government (Scotland) Act 1973 (c. 65).

Interpretation of Schedule

4

In this Schedule “the initial assessment” means the assessment relating to the proposal that has been carried out under section 22(5), 23(5), 24(6), 25(4), 26(5), 27(5), 28(5), 29(5), 30(5) or 31(5).

5

In this Schedule “the area affected”, in relation to a proposal, means—

(a) in the case of a proposal for the discontinuance of railway passenger services on a particular line or from a particular station, the area in which the line or station is situated;

(b) in the case of a proposal relating to a network, or part of a network, the area in which the network, or part of a network, is situated;

6

(1) A newspaper is to be regarded as a national newspaper for the purposes of paragraph 2(1)(b) as it applies in relation to a proposal if—

(a) it is a newspaper circulating generally in the United Kingdom; or

(b) the proposal relates to services operating, or a network or station, or part of a network or station that is—

(i) entirely in England,

(ii) entirely in Wales, or

(iii) entirely in Scotland,

and it is a newspaper circulating generally in England, Wales or (as the case may be) Scotland.

(2) For the purposes of this paragraph, a service operates entirely in England, entirely in Wales or entirely in Scotland if it begins and ends in, and does not make any other scheduled call outside, England, Wales or (as the case may be) Scotland.

SCHEDULE 8

Introductory

1

(1) This Schedule applies, where a proposal for the discontinuance of all the excluded London services provided on a particular line, or from a particular station, is made by the person providing them (“the service operator”), to so much of the proposal as relates to excluded London services which are special procedure excluded services.

(2) In this Schedule “excluded London service” and “special procedure excluded service” have the same meanings as in section 25.

Notice of proposal

2

(1) The service operator—

(a) must give notice in the required manner of his proposal; and

(b) must not give effect to the closure before the end of the period specified in the notice for the making of objections to the London Transport Users' Committee.

(2) The notice must set out—

(a) the proposal date;

(b) the other particulars of the proposal;

(d) any proposal of the service operator for providing or augmenting the alternative services;

(e) a statement that any objections about the proposal may be sent to the London Transport Users' Committee on or before the proposal date.

(3) The proposal date must be not less than six weeks after the notice is last published in a local newspaper for the purposes of sub-paragraph (4).

(4) A notice under this paragraph is published in the required manner if it is published, in two successive weeks—

(a) in a local newspaper circulating in the area affected by the proposal;

(b) in two newspapers circulating generally in England (or in England and any other part of the United Kingdom); and

(5) The service operator must send a copy of every notice published under this paragraph—

(a) to the London Transport Users' Committee; and

(b) to every person who is the operator of a station within the area affected by the proposal;

and must require every such operator to publish the notice by displaying it at the stations he operates in that area.

(6) In this paragraph a reference to the area affected by the proposal is a reference to the area in which is situated the line or station referred to in paragraph 1(1).

Objections etc.

3

(1) Where a notice has been published under paragraph 2 objections about the proposal may be made to the London Transport Users' Committee—

(a) by any user of a service to which the proposal relates; or

(b) by any person representing such users.

(2) Objections may only be made within the period specified in the notice.

Consideration of objections and report to Mayor of London

4

(1) This paragraph applies where any objection is made under paragraph 3.

(2) The London Transport Users' Committee must immediately inform—

(a) the Mayor of London, and

(b) the service operator,

about the objection.

(3) The service operator may give effect to the proposed closure only if the Mayor of London consents to it.

(4) As soon as possible after the end of the period for the making of objections to the London Transport Users' Committee, the Committee must—

(a) consider the objections made during that period;

(b) consider any representations made by the service operator; and

(5) If the London Transport Users' Committee decides—

(a) to hear an objector orally, or

(b) to hear oral representations from the service operator,

the hearing must be in public.

(6) The report to the Mayor of London under this paragraph may contain proposals for alleviating any hardship to which it refers.

(7) After receiving that report the Mayor of London may require further reports from the London Transport Users' Committee relating to the proposed closure.

(8) The London Transport Users' Committee must send to the service operator a copy of every report or further report it makes under this paragraph.

5

(1) After—

(a) receiving—

(i) the report from the London Transport Users' Committee required by sub-paragraph (4) of paragraph 4, and

(ii) any further reports required by him under that paragraph, and

(b) carrying out any consultation required by sub-paragraph (2),

the Mayor of London must decide whether or not to consent to the proposed closure.

(2) If any of the services to which the proposed closure relates operates in any area outside Greater London, the Mayor of London must, before deciding whether to consent to the proposed closure, consult the local authority for each such area.

(3) At any time after the period for making objections the Mayor of London may make that decision without receiving a report or further report if—

(a) he has made such enquiries as he thinks fit, and

(b) he considers that the report or further report has been unreasonably delayed.

(4) The Mayor of London may give his consent subject to such conditions as he thinks fit.

(5) The Mayor of London may at any time vary or revoke conditions that are for the time being required to be complied with.

(6) Where the Mayor of London gives his consent to a proposed closure, he must—

(a) send a copy of his decision to every person who is the operator of a station in the area affected by the closure; and

(b) require that person to publish it by displaying it at the station.

(7) In this paragraph a reference to the area affected by the closure is a reference to the area in which is situated the line or station referred to in paragraph 1(1).

(8) In this paragraph “local authority” means a county council, a community council or council for a district in an area for which there is no county council.

SCHEDULE 9

Introductory

1

(1) In this Schedule—

“appropriate national authority”, in relation to any bye-laws, means—where the relevant assets by reference to which the bye-laws are or were made are all Scottish assets, the Scottish Ministers;where some but not all of those assets are Scottish assets or include assets that are used partly in Scotland and partly elsewhere, the Secretary of State and the Scottish Ministers; ... where the relevant assets by reference to which the bye-laws are or were made are all Welsh assets, the Welsh Ministers; and in any other case, the Secretary of State;

“bye-laws” means bye-laws under section 46; and

“railway operator” has the same meaning as in that section.

(2) In sub-paragraph (1) “Scottish asset” means—

(a) an asset that is permanently situated in Scotland; or

(b) an asset that is used only in Scotland.

(2A) In sub-paragraph (1) “Welsh asset” has the meaning given by section 46(9).

(3) In the case of bye-laws in relation to which both the Secretary of State and the Scottish Ministers are the appropriate national authority —

(a) anything that must be done under this Schedule in relation to those bye-laws by the appropriate national authority must be done by them both, acting jointly;

(b) anything that may be done under this Schedule in relation to those bye-laws by the appropriate national authority may be done only by them both, acting jointly; and

(c) any requirement of this Schedule in relation to those bye-laws to send something to the appropriate national authority is complied with only if that thing is sent both to the Secretary of State and to the Scottish Ministers.

Penalties

2

Bye-laws may provide that a person contravening them is guilty of an offence and liable, on summary conviction, to a fine not exceeding—

(a) level 3 on the standard scale; or

(b) such lower amount as is specified in the bye-laws.

Confirmation

3

Bye-laws do not come into force until they have been confirmed by the appropriate national authority.

4

(1) A railway operator who proposes to make bye-laws must publish a notice stating—

(a) that he proposes to make bye-laws;

(b) the manner in which a copy of the proposed bye-laws will be open to public inspection; and

(c) that any person affected by the proposed bye-laws may make representations about them to the appropriate national authority within the period specified in the notice.

(2) The publication of the notice must be in the manner approved by the appropriate national authority.

(3) The period specified for the purposes of sub-paragraph (1)(c) must be the period of 28 days beginning with the day after that on which the railway operator's notice is published, or a longer period.

(4) At the end of the period so specified the appropriate national authority must forward any representations that have been made to it to the railway operator.

(5) The railway operator must not submit the bye-laws for confirmation unless he has considered the representations forwarded by the appropriate national authority.

5

(1) The appropriate national authority may—

(a) confirm (with or without modifications) any bye-laws submitted to it for confirmation; or

(b) refuse to confirm them.

(2) The appropriate national authority may fix the date of the coming into force of any bye-laws confirmed by it.

(3) If the appropriate national authority confirms bye-laws without fixing the date on which they come into force, they come into force at the end of the period of 28 days beginning with the day after that on which they are confirmed.

Publicity for confirmed bye-laws

6

If the appropriate national authority has confirmed bye-laws—

(a) copies of the bye-laws must be printed;

(b) at least one copy must be kept at the principal offices of the railway operator who made them;

(d) the railway operator must supply one copy (free of charge) to every person who applies for a copy or for more than one copy.

Evidence

7

(1) The production of a printed copy of bye-laws which is indorsed with a certificate—

(a) stating one or more matters specified in sub-paragraph (2), and

(b) purporting to be signed by an officer of the railway operator by whom the bye-laws purport to have been made,

is evidence of what is stated.

(2) Those matters are—

(a) that the bye-laws were made by the railway operator in question;

(b) that the copy is a true copy of the bye-laws;

(d) the date of the coming into force of the bye-laws.

Power to amend or vary

8

(1) The power to make bye-laws includes the power to make bye-laws amending or revoking bye-laws.

(2) The appropriate national authority may by order revoke bye-laws.

SCHEDULE 10

Part 1 — Transfers to a national authority under section 1(2) schemes

Meaning of “relevant transfer” in Part 1 of Schedule

1

In this Part of this Schedule, “relevant transfer” means a transfer in accordance with a scheme made under section 1(2) to a national authority.

Capital allowances: determination of disposal value of plant or machinery

2

(1) This paragraph applies to a relevant transfer of plant or machinery which is a disposal event for the purposes of Part 2 of the 2001 Act (capital allowances for plant and machinery).

(2) For the purposes of the application of section 61 of that Act in relation to the transferor, the disposal value of the plant or machinery is to be treated—

(a) if a capital sum is received by the transferor by way of consideration or compensation in respect of the transfer, as an amount equal to that sum; or

(b) if no such sum is received, as nil.

(3) For the purposes of this paragraph a sum received by a person connected with the transferor is to be treated as received by the transferor.

(4) Section 88 of the 2001 Act (sales at an undervalue) is to be disregarded.

(5) This paragraph is subject to sections 63(5) and 68 of the 2001 Act.

Capital allowances: determination of disposal value of fixtures

3

(1) This paragraph applies to a relevant transfer if—

(a) it is a disposal event for the purposes of Part 2 of the 2001 Act; and

(b) by virtue of the transfer a person is treated by section 188 of that Act as ceasing to own a fixture.

(2) For the purposes of the application of section 196 of that Act in relation to the transferor, the disposal value of the fixture is to be treated—

(a) if a capital sum is received by the transferor by way of consideration or compensation in respect of the transfer, as an amount equal to that portion of that sum which, if the person to whom the disposal is made were entitled to an allowance, would fall to be treated for the purposes of Part 2 of that Act as expenditure incurred by that person on the provision of the fixture; or

(b) if no such sum is received, as nil.

(3) For the purposes of this paragraph a sum received by a person connected with the transferor is to be treated as received by the transferor.

(4) This paragraph is subject to section 63(5) of the 2001 Act.

Capital allowances: determination of capital value of industrial buildings etc.

4

(1) This paragraph applies for the purposes of Part 3 of the 2001 Act, and the other provisions of that Act which are relevant to that Part, in relation to a relevant transfer of the relevant interest in an industrial building or structure.

(2) The transfer is to be treated as a sale of that relevant interest.

(3) The net proceeds of that sale are to be treated—

(a) if a capital sum is received by the transferor by way of consideration or compensation in respect of the transfer, as an amount equal to that sum; or

(b) if no such sum is received, as nil.

(4) Sections 567 to 570 of the 2001 Act (sales treated as being for alternative amount) are not to have effect in relation to that sale.

(5) For the purposes of this paragraph a sum received by a person connected with the transferor is to be treated as received by the transferor.

Chargeable gains: assets to be treated as disposed without a gain or a loss

5

For the purposes of the 1992 Act, a relevant transfer of an asset is to be treated as a disposal of that asset to the transferee for a consideration of such amount as would secure that, on the disposal, neither a gain nor a loss accrues to the transferor.

Continuity in relation to transfer of intangible assets

6

(1) For the purposes of Schedule 29 to the Finance Act 2002 (c. 23), a relevant transfer of a chargeable intangible asset of the transferor is to be treated as a tax-neutral transfer.

(2) Expressions used in this paragraph and in that Schedule have the same meanings in this paragraph as in that Schedule.

Neutral effect of transfer for loan relationships and derivative contracts

7

No credit or debit shall be required or allowed, in respect of a relevant transfer, to be brought into account in the transferor's case—

(a) for the purposes of Part 5 of the Corporation Tax Act 2009 (loan relationships); or

(b) for the purposes of Part 7 of the Corporation Tax Act 2009 (derivative contracts).

Leased assets

8

(1) This paragraph applies for the purposes of section 781 of the Taxes Act (assets leased to traders and others) where—

(a) the interest of the lessor or the lessee under a lease, or any other interest in an asset, is transferred under a relevant transfer; or

(b) a lease, or any other interest in a lease, is granted to a national authority in accordance with provision contained by virtue of paragraph 3 or 4 of Schedule 2 in a scheme made under section 1(2).

(2) Section 783(4) of that Act is to be disregarded and the transfer or grant is to be treated as made without any capital sum having been obtained in respect of the interest or lease by the transferor or grantor.

(3) Expressions used in this paragraph and in sections 781 to 785 of that Act have the same meanings in this paragraph as in those sections.

Part 2 — Other transfers under section 1(2) schemes

Meaning of “relevant transfer” in Part 2 of Schedule

9

In this Part of this Schedule, “relevant transfer” means a transfer in accordance with a scheme made under section 1(2) to a person other than a national authority.

Computation of profits and losses in respect of transfer of trade

10

(1) This paragraph applies where a person (“the predecessor”) is carrying on a trade or a part of a trade and, in consequence of a scheme made under section 1(2)—

(a) the predecessor ceases to carry on that trade or that part of that trade; and

(b) a person who is not a national authority (“the successor”) begins to carry on that trade or that part of it.

(2) For the purpose of computing, in relation to the time when the scheme comes into force and subsequent times, the relevant trading profits or losses of the predecessor and the successor—

(a) the trade or part is to be treated as having been a separate trade at the time of its commencement and as having been carried on by the successor at all times since its commencement as a separate trade; and

(b) the trade carried on by the successor after the time when the scheme comes into force is to be treated as the same trade as that which it is treated, by virtue of paragraph (a), as having carried on as a separate trade before that time.

(3) Where a trade or a part of a trade falls to be treated under this paragraph as a separate trade, such apportionments of receipts, expenses, assets and liabilities shall be made for the purpose of computing relevant trading profits and losses as may be just and reasonable.

(4) This paragraph is subject to paragraphs 12 and 18.

(5) In this paragraph, “relevant trading profits and losses” means profits or losses under Part 3 of the Corporation Tax Act 2009 in respect of the trade or part of a trade in question for periods in which the trade was carried on wholly or partly in the United Kingdom.

Trading losses: change in ownership

11

(1) This paragraph applies to a relevant transfer of all the issued share capital of a company (the “transferred company”).

(2) For the purposes of the provisions of the Corporation Tax Act 2010 specified in sub-paragraph (3), the transfer is not to be taken to result in a change in the ownership of—

(a) the transferred company; or

(b) a company which is a wholly-owned subsidiary of the transferred company when the transfer takes effect.

(3) Those provisions are—

(a) Chapter 2 of Part 14 (but not section 674(1)),

(b) section 683,

(d) section 700,

(e) section 701,

(f) section 704, and

(g) section 705.

Capital allowances: transfer of whole trade

12

(1) This paragraph applies where a person (“the predecessor”) is carrying on a trade and, in consequence of a scheme made under section 1(2)—

(a) the predecessor ceases to carry on that trade; and

(b) a person who is not a national authority (“the successor”) begins to carry on that trade.

(2) For the purposes of the allowances and charges provided for by the 2001 Act, the trade is not to be treated as permanently discontinued, nor a new trade as set up; but sub-paragraphs (3) and (4) of this paragraph are to apply.

(3) There are to be made to or on the successor, in accordance with the 2001 Act, all such allowances and charges as would, if the predecessor had continued to carry on the trade, have fallen to be made to or on the predecessor.

(4) The amounts of those allowances and charges are to be computed as if—

(a) the successor had been carrying on the trade since the predecessor began to do so; and

(b) everything done to or by the predecessor had been done to or by the successor;

but so that transfers in accordance with the scheme, so far as they relate to assets in use for the purposes of the trade, shall not be treated as giving rise to an allowance or charge.

Capital allowances: transfer of part of a trade

13

(1) Where a person (“the predecessor”) is carrying on a trade and, in consequence of a scheme made under section 1(2)—

(a) the predecessor ceases to carry on a trade, and

(b) a person who is not a national authority (“the successor”) begins to carry on activities of that trade as part of a trade carried on by the successor,

then that part of the trade carried on by the successor shall be treated for the purposes of paragraph 12 as a separate trade.

(2) Where a person (“the predecessor”) is carrying on a trade and, in consequence of a scheme made under section 1(2)—

(a) the predecessor ceases to carry on a part of a trade, and

(b) a person who is not a national authority begins to carry on activities of that part of that trade,

then the predecessor shall be treated for the purposes of paragraph 12 and sub-paragraph (1) of this paragraph as having carried on that part of its trade as a separate trade.

(3) Where activities fall to be treated for the purposes of this paragraph as a separate trade, such apportionments of receipts, expenses, assets and liabilities shall be made for the purposes of the 2001 Act as may be just and reasonable.

Capital allowances: transfer of plant or machinery

14

(1) This paragraph applies where—

(a) there is a relevant transfer of plant or machinery;

(b) paragraph 12 does not apply in relation to that transfer;

(c) the plant or machinery would be treated for the purposes of the 2001 Act as disposed of by the transferor to the transferee on the transfer taking effect; and

(d) the scheme in accordance with which the transfer is made contains provision for the disposal value of the plant or machinery to be treated for the purposes of that Act as an amount specified in or determined in accordance with the scheme.

(2) For the purposes of the 2001 Act—

(a) the provision mentioned in sub-paragraph (1)(d) is to have effect (instead of section 61(2) to (4), 72(3) to (5), 88, 171, 196 or 423 of that Act) for determining an amount as the disposal value of the plant or machinery or the price at which a fixture is to be treated as sold;

(b) the transferee is to be treated as having incurred capital expenditure of that amount on the provision of the plant or machinery for the purposes for which it is used by the transferee on and after the taking effect of the transfer;

(c) the property is to be treated as belonging to the transferee in consequence of the transferee having incurred that expenditure; and

(d) in the case of a fixture, the expenditure which falls to be treated as incurred by the transferee is to be treated for the purposes of sections 181(1) and 182(1) of that Act to be incurred by the giving of a consideration consisting in a capital sum of that amount.

(3) The provision mentioned in sub-paragraph (1)(d) for the determination of an amount may include provision for a determination—

(a) to be made by the Secretary of State in a manner described in the scheme;

(b) to be made by reference to factors so described or to the opinion of a person so described; and

(4) The consent of the Treasury is required for the making or modification of a determination under the provision mentioned in sub-paragraph (1)(d).

(5) The consent of the transferee is required for the modification of a determination under the provision mentioned in sub-paragraph (1)(d).

(6) If there is a determination or a modification of a determination under the provision mentioned in sub-paragraph (1)(d), all necessary adjustments—

(a) must be made by making assessments or by repayment or discharge of tax; and

(b) must be made despite any limitation on the time within which assessments may be made.

(7) Expressions used in this paragraph and in Part 2 of the 2001 Act have the same meanings in this paragraph as in that Part.

Capital allowances: determination of capital value of industrial buildings etc.

15

(1) This paragraph applies for the purposes of Part 3 of the 2001 Act, and the other provisions of that Act which are relevant to that Part, to a relevant transfer of the relevant interest in an industrial building or structure.

(2) Section 573 of that Act is not to have effect in relation to that transfer.

Chargeable gains: assets to be treated as disposed of without a gain or a loss

16

Continuity in relation to transfer of intangible assets

17

(1) For the purposes of Part 8 of the Corporation Tax Act 2009—

(a) a relevant transfer of a chargeable intangible asset of the transferor is to be treated as a tax-neutral transfer; and

(b) an intangible fixed asset which is a pre-FA 2002 asset of the transferor at the time of the transfer is to be treated, on and after the transfer, as a pre-FA 2002 asset in the hands of the transferee.

(2) Expressions used in this paragraph and in that Part have the same meanings in this paragraph as in that Part.

Continuity in relation to loan relationships

18

(1) For the purposes of the application of Part 5 of the Corporation Tax Act 2009 (loan relationships) in relation to a relevant transfer, the transferee and the transferor are to be treated as if, at the time of the transfer, they were members of the same group.

(2) In sub-paragraph (1), the reference to being members of the same group must be construed in accordance with section 335(6) of that Act.

Continuity in relation to derivative contracts

19

(1) For the purposes of the application of Part 7 of the Corporation Tax Act 2009 (derivative contracts) in relation to a relevant transfer, the transferee and the transferor are to be treated as if, at the time of the transfer, they were members of the same group.

(2) In sub-paragraph (1), the reference to being members of the same group must be construed in accordance with section 624(3) of that Act.

Leased assets

20

(1) This paragraph applies for the purposes of section 781 of the Taxes Act (assets leased to traders and others) where—

(a) the interest of the lessor or the lessee under a lease, or any other interest in an asset, is transferred under a relevant transfer; or

(b) a lease, or any other interest in a lease, is granted to a person who is not a national authority in accordance with provision contained by virtue of paragraph 3 or 4 of Schedule 2 in a scheme made under section 1(2).

(2) Section 783(4) of that Act is to be disregarded and the transfer or grant is to be treated as made without any capital sum having been obtained in respect of the interest or lease by the transferor or grantor.

(3) In the case of the transfer of an interest under a lease, payments made by the transferor under the lease before the transfer takes effect are to be treated as if they had been made under that lease by the transferee.

(4) Expressions used in this paragraph and in sections 781 to 785 of that Act have the same meanings in this paragraph as in those sections.

Part 3 — Transfers under section 12 schemes

Meaning of “relevant transfer” in Part 3 of Schedule

21

In this Part of this Schedule, “relevant transfer” means a transfer in accordance with a scheme made under section 12.

Capital allowances: determination of disposal value of plant or machinery

22

(1) This paragraph applies to a relevant transfer of plant or machinery which is a disposal event for the purposes of Part 2 of the 2001 Act (capital allowances for plant and machinery).

(2) For the purposes of the application of section 61 of that Act in relation to the transferor, the disposal value of the plant or machinery is to be treated—

(a) if a capital sum is received by the transferor by way of consideration or compensation in respect of the transfer, as an amount equal to that sum; or

(b) if no such sum is received, as nil.

(3) For the purposes of this paragraph a sum received by a person connected with the transferor is to be treated as received by the transferor.

(4) Section 88 of the 2001 Act (sales at an undervalue) is to be disregarded.

(5) This paragraph is subject to sections 63(5) and 68 of the 2001 Act.

Capital allowances: determination of disposal value of fixtures

23

(1) This paragraph applies to a relevant transfer if—

(a) it is a disposal event for the purposes of Part 2 of the 2001 Act; and

(b) by virtue of the transfer a person is treated by section 188 of that Act as ceasing to own a fixture.

(2) For the purposes of the application of section 196 of that Act in relation to the transferor, the disposal value of the fixture is to be treated—

(a) if a capital sum is received by the transferor by way of consideration or compensation in respect of the transfer, as an amount equal to that portion of that sum which falls (or, if the person to whom the disposal is made were entitled to an allowance, would fall) to be treated for the purposes of Part 2 of that Act as expenditure incurred by that person on the provision of the fixture; or

(b) if no such sum is received, as nil.

(3) For the purposes of this paragraph a sum received by a person connected with the transferor is to be treated as received by the transferor.

(4) This paragraph is subject to section 63(5) of the 2001 Act.

Capital allowances: determination of capital value of industrial buildings etc.

24

(1) This paragraph applies for the purposes of Part 3 of the 2001 Act, and the other provisions of that Act which are relevant to that Part, in relation to a relevant transfer of the relevant interest in an industrial building or structure.

(2) The transfer is to be treated as a sale of that relevant interest.

(3) The net proceeds of that sale, in relation to the transferor, are to be treated—

(a) if a capital sum is received by the transferor by way of consideration or compensation in respect of the transfer, as an amount equal to that sum; or

(b) if no such sum is received, as nil.

(4) Sections 567 to 570 of the 2001 Act (sales treated as being for alternative amount) are not to have effect in relation to that sale.

(5) For the purposes of this paragraph a sum received by a person connected with the transferor is to be treated as received by the transferor.

Chargeable gains: disposals not be treated as made at market value

25

(1) Section 17 of the 1992 Act (disposals and acquisitions treated as made at market value) is not to have effect in relation to—

(a) a disposal constituted by a relevant transfer or a disposal in accordance with provision contained by virtue of paragraph 3 or 4 of Schedule 2 to this Act in a scheme made under section 12 of this Act; or

(b) the acquisition made by the person to whom the disposal is made.

(2) But sub-paragraph (1) does not apply—

(a) if the person making the disposal is connected with the person making the acquisition; or

(b) in the case of a disposal in accordance with provision contained in a scheme by virtue of paragraph 3 or 4 of Schedule 2, if the disposal is made by or to a person other than the transferor or transferee.

(3) If sub-paragraph (1) applies to the disposal of an asset, the disposal is to be taken (in relation to the person making the acquisition as well as the person making the disposal) to be—

(a) in a case where consideration in money or money's worth is given by the person making the acquisition or on his behalf in respect of the vesting of the asset in him, for a consideration equal to the amount or value of that consideration; or

(b) in a case where no such consideration is given, for a consideration of nil.

Chargeable gains: degrouping charges

26

(1) This paragraph applies if a company (“the degrouped company”)—

(a) acquired an asset from another company at a time when both were members of the same group of companies (“the old group”); and

(b) ceases by virtue of a relevant transfer to be a member of the old group.

(2) Section 179 of the 1992 Act (company ceasing to be member of group) is not to treat the degrouped company as having by virtue of the transfer sold and immediately reacquired the asset.

(3) Where sub-paragraph (2) has applied to an asset, section 179 of the 1992 Act is to have effect on and after the first subsequent occasion on which the degrouped company ceases to be a member of a group of companies (“the new group”) otherwise than by virtue of a relevant transfer as if—

(a) the degrouped company, and

(b) the company from which it acquired the asset,

had been members of the new group at the time of acquisition.

(4) If, disregarding any preparatory transactions, a company would be regarded for the purposes of section 179 of the 1992 Act (and, accordingly, of this paragraph) as ceasing to be a member of a group of companies by virtue of a relevant transfer, it is to be regarded for those purposes as so doing by virtue of the relevant transfer and not by virtue of any preparatory transactions.

(5) In this paragraph, “preparatory transactions” means anything done under or by virtue of the 1993 Act or this Act for the purpose of initiating, advancing or facilitating the relevant transfer in question.

(6) Expressions used in this paragraph and in section 179 of the 1992 Act have the same meanings in this paragraph as in that section.

Chargeable gains: disposal of debts

27

(1) This paragraph applies to a relevant transfer of a debt owed to the transferor if the transferor would (apart from this paragraph) be the original creditor in relation to that debt for the purposes of section 251 of the 1992 Act (disposal of debts).

(2) The 1992 Act is to have effect as if the transferee (and not the transferor) were the original creditor for those purposes.

Loan relationships

28

(1) Section 444 of the Corporation Tax Act 2009 is not to have effect where, as a result of a relevant transfer, the transferee replaces the transferor as a party to a loan relationship.

(2) Expressions used in this paragraph and in Part 5 of the Corporation Tax Act 2009 have the same meanings in this paragraph as in that Part.

Part 4 — Other provisions concerning transfers

Stamp duty

29

(1) Stamp duty is not to be chargeable—

(a) on a scheme made under section 1(2); or

(b) on an instrument certified by the Secretary of State to the Commissioners of Inland Revenue as made for the purposes of such a scheme, or as made for purposes connected with such a scheme.

(2) But where, by virtue of sub-paragraph (1), stamp duty is not chargeable on a scheme or instrument, the scheme or instrument is to be treated as duly stamped only if—

(a) in accordance with section 12 of the Stamp Act 1891 (c. 39) it has been stamped with a stamp denoting either that it is not chargeable to duty or that it has been duly stamped; or

(b) it is stamped with the duty to which it would be chargeable apart from sub-paragraph (1).

(3) In this paragraph, “instrument” has the same meaning as in the Stamp Act 1891.

Stamp duty land tax

30

(1) No transfer in accordance with a scheme made under section 1(2) is to give rise to any liability to stamp duty land tax.

(2) Relief under this paragraph must be claimed in a land transaction return or in an amendment of a land transaction return.

(3) In sub-paragraph (2) “land transaction return” has the meaning given by section 76(1) of the Finance Act 2003 (c. 14).

Chargeable gains: value shifting

31

No scheme made under section 1(2) or 12 is to be regarded as a scheme or arrangement for the purposes of section 30 of the 1992 Act.

Group relief

32

Neither the power of the Secretary of State to make a scheme under section 1(2) nor the power of the Secretary of State, the Welsh Ministers or the Scottish Ministers to make a scheme under section 12 is to be regarded as constituting—

(a) arrangements falling within section 154(3) or 155(3) of the Corporation Tax Act 2010 (arrangements for transfer of company to another group or consortium); or

(b) option arrangements for the purposes of section 173 of that Act.

Consequential amendment

33

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Part 5 — Interpretation of Schedule

34

(1) In this Schedule—

“the 1992 Act” means the Taxation of Chargeable Gains Act 1992 (c. 12);

“the 2001 Act” means the Capital Allowances Act 2001 (c. 2);

“national authority” means—the Secretary of State;the Scottish Ministers; the Welsh Ministers; orthe Office of Rail and Road;

“the Taxes Act” means the Income and Corporation Taxes Act 1988 (c. 1);

“transferee”, in relation to a transfer in accordance with a scheme made under section 1(2) or 12, means the person to whom the transfer is made;

“transferor”, in relation to a transfer in accordance with a scheme made under section 1(2) or 12, means the person from whom the transfer is made.

(2) So far as it relates to corporation tax this Schedule is to be construed as one with the Corporation Tax Acts.

(3) So far as it relates to capital allowances this Schedule is to be construed as one with the 2001 Act.

SCHEDULE 11

Introductory provision

1

The 1993 Act is amended as follows.

Licence conditions

2

In section 9(3)(f) (conditions requiring the provision of information), after “this Part” insert “ or Part 4 of the Railways Act 2005 ”.

Access agreements

3

In—

(a) section 17(4) (access agreements: directions requiring facility owners to enter into contracts for the use of their railway facilities), and

(b) section 19(7) (access agreements: contracts for the use of installations comprised in a network),

after “this Part” insert “ or Part 4 of the Railways Act 2005 (network modifications etc.) ”.

Duties of provider of last resort

4

In paragraph (b) of section 30(3) (duty of Authority in absence of franchise)—

(a) for “giving notice under subsection (5) of section 38 below” substitute “ making a proposal to which section 24 of the Railways Act 2005 (proposals to discontinue franchised or secured services) applies ”; and

(b) for the words from “subsections (5) and (6)” to the end of the paragraph substitute “ subsections (7) and (8) of that section) terminate on the proposal date specified for the purposes of subsection (5)(a)(ii) of that section; or ”.

Exclusion for liability for breach of statutory duty

5

In section 50(1) (exclusion of liability for breach of statutory duty), for “Authority,” substitute “ Secretary of State and of the Scottish Ministers, so far as ”.

Purposes for which franchising functions may be exercised

6

(1) In section 54 (purposes for which franchising functions may be exercised), in subsection (1)—

(a) for “Authority or a Passenger Transport Authority or Passenger Transport Executive” substitute “ Secretary of State or the Scottish Ministers ”; and

(b) in paragraph (a), after “any of” insert “ his or ”.

(2) For subsection (2) of that section substitute—

(2) The Secretary of State and the Scottish Ministers shall each have power to enter into agreements under which an undertaking is given by him or them— (a) to exercise his or their franchising functions; (b) to refrain from exercising them; or (c) to exercise them in a particular manner.

(3) In subsection (3) of that section, in the first definition of “franchising functions”—

(a) for “Authority”, wherever occurring, substitute “ Secretary of State or the Scottish Ministers ”;

(b) in paragraph (a), for “of the Authority's functions“ substitute “ of the functions of the Secretary of State or of the Scottish Ministers ”;

(d) in paragraph (b), for “Schedule 21 to the Transport Act 2000” substitute “ section 1(2) of the Railways Act 2005 ”;

and omit the definition of “franchising functions” in relation to a Passenger Transport Authority or Passenger Transport Executive.

Orders for securing compliance

7

(1) In subsection (9) of section 55 (interpretation of provision relating to orders for securing compliance), for “section 50 above” substitute “ section 44 of the Railways Act 2005 (exclusion of liability for breach of statutory duty) ”.

(2) In subsection (10) of that section, in the definition of “final order”, after “provisional order” insert “ or an order under subsection (7B) ”.

(3) In that subsection, in the definition of “relevant condition or requirement”, for paragraphs (c) and (d) substitute—

(c) in the case of a person under closure restrictions, any duty mentioned in subsection (11) to which he is subject;

(4) For the definition of “relevant operator” in that subsection substitute—

“relevant operator” means— (a) a licence holder; (b) a franchisee; (c) a franchise operator who is a party to the franchise agreement; (d) a person under closure restrictions.

(5) In subsection (11) of that section, for paragraphs (a) and (b) substitute

who is under— (a) a duty under section 22(8), 26(8), 29(8) or 37(2) of the Railways Act 2005 not to discontinue a railway passenger service or an experimental passenger service or not to discontinue the operation or use of a network or station, or part of a network or station; (b) a duty to comply with any requirement imposed under section 33(2)(i) of that Act (closure requirements imposed on operators); or (c) a duty to comply with conditions to which he has agreed under section 34(5) of that Act (conditions of minor modification determination).

(6) After that subsection insert—

(11A) In the definition of “the appropriate authority” in subsection (10) above the reference to a relevant condition or requirement in the case of a person under Scottish closure restrictions is a reference to a relevant condition or requirement which— (a) falls within paragraph (c) of the definition in that subsection; (b) is imposed or arises in the case of a closure; and (c) is so imposed or so arises in a Scottish case; and the reference to a relevant condition or requirement in the case of a person under closure restrictions that are not Scottish closure restrictions is a reference to any relevant condition or requirement in relation to which paragraphs (a) and (b) are satisfied, but not paragraph (c). (11B) In subsection (11A), “a Scottish case”, in relation to a closure, means— (a) a case in which the Scottish Ministers are the national authority for the purposes of provisions of Part 4 of the Railways Act 2005 relating to the proposal for the closure; (b) a case in which it is the Scottish Ministers who make a determination under section 34 of that Act (minor modifications) in relation to the closure; or (c) a case in which the closure is a closure notice of which is given under section 37 of that Act (experimental passenger services) and the proposal relates to a Scotland-only service.

8

In section 57F(1) (validity and effect of penalties), for “penalty order” substitute “ penalty notice ”.

Financial assistance from the Secretary of State to companies in railway administration

9

(1) In section 63 (financial assistance for companies in railway administration), for subsection (1)(b) substitute—

(b) agree to indemnify a relevant person in respect of— (i) liabilities incurred by that person in connection with the carrying out by the railway administrator of his functions under the order; and (ii) loss or damage incurred by that person in that connection.

(2) After subsection (2) of that section insert—

(2A) A grant, loan, indemnity or guarantee under this section may be made or given in whatever manner, and on whatever terms and subject to whatever conditions, the Secretary of State considers appropriate.

(3) After subsection (3) insert—

(3A) The power of the Secretary of State under this section to agree to indemnify a relevant person— (a) is confined to a power to agree to indemnify that person in respect of liabilities, loss and damage incurred or sustained by him as a relevant person; but (b) includes power to agree to indemnify persons (whether or not they are identified or identifiable at the time of the agreement) who subsequently become relevant persons. (3B) A person is a relevant person for the purposes of this section if he is— (a) the railway administrator; (b) an employee of the railway administrator; (c) a member or employee of a firm of which the railway administrator is a member; (d) a member or employee of a firm of which the railway administrator is an employee; (e) a member of a firm of which the railway administrator was an employee or member at a time when the order was in force; (f) a body corporate which is the employer of the railway administrator; or (g) an officer, employee or member of such a body corporate. (3C) For the purposes of this section— (a) the references in this section to the railway administrator, in relation to a railway administration order, are references to the person appointed to achieve the purposes of the order and, where two or more persons are so appointed, are to be construed as references to any one or more of them; and (b) the references to a firm of which a person was a member or employee at a particular time include references to a firm which holds itself out to be the successor of a firm of which he was a member or employee at that time.

(4) After subsection (4) of that section insert—

(4A) If sums are paid by the Secretary of State in consequence of an indemnity agreed to under this section in the case of a company in relation to which a railway administration order is in force, the company must pay him— (a) such amounts in or towards the repayment to him of those sums as he may direct; and (b) interest, at such rates as he may direct, on amounts outstanding under this subsection. (4B) Payments to the Secretary of State under subsection (4A) must be made at such times and in such manner as he may determine. (4C) Subsection (4A) does not apply in the case of a sum paid by the Secretary of State for indemnifying a person in respect of a liability to the company in relation to which the railway administration order in question was made. (4D) The consent of the Treasury is required for the giving of a direction under subsection (4A) and for the making of a determination under subsection (4B).

Register kept by ORR

10

(1) In section 72(2) (matters to be entered in register)—

(a) in paragraph (d) (notices with respect to experimental passenger services), for “section 48 above” substitute “ Part 4 of the Railways Act 2005 ”;

(b) for sub-paragraphs (i) to (iii) of that paragraph substitute—

(i) every designation under section 36 of that Act of a service as experimental; (ii) every notice under section 37(1) or (2) of that Act of the proposed discontinuance of a service designated as experimental;

(da) in relation to closures, the provisions of— (i) every closure ratification notice or closure non-ratification notice (within the meaning of Part 4 of the Railways Act 2005) issued by it; (ii) every closure requirement imposed by it;

(2) Nothing in this paragraph requires the removal of anything from the register maintained under section 72.

Register kept by Secretary of State

11

(1) In section 73(2) (matters to be entered in the register)—

(a) for paragraph (da) (closure notices etc.) substitute—

(da) every determination made by him under section 34 of the Railways Act 2005 that a closure is a minor modification or that closures of a particular description are minor modifications; (db) every revocation of a determination made by him under that section in relation to a description of closures; (dc) every condition agreed to under subsection (5) of that section in connection with a determination made by him;

(b) in paragraph (e) (final or provisional orders), for “or to any closure or proposed closure or to any closure consent or closure condition” substitute “ or to any closure or proposed closure or to any closure requirement ”.

(2) Neither this paragraph nor any repeal made by this Act requires the removal of anything from the register maintained under section 73.

Purposes for which the Secretary of State may require information from licence holders

12

In section 80(1) (duty of licence holders to provide information to the Secretary of State or the Scottish Ministers on request), for “or the Transport Act 2000” substitute “ , the Transport Act 2000 or the Railways Act 2005 or any other function or activity of his, theirs or its in relation to railway services ”.

General interpretation

13

In section 83(1) (interpretation of Part 1)—

(a) after the definition of “appropriate authority” insert—

“appropriate designating authority” has the meaning given by section 23(3) above; “appropriate franchising authority” has the meaning given by section 23(3) above; “appropriate national authority” has the meaning given by section 59(6)(za) above;

(b) for the definition of “bus substitution service” substitute—

“bus substitution service” means a service for the carriage of passengers by road that is provided as an alternative to the whole or a part of a railway passenger service that has been discontinued, reduced or modified (whether temporarily or permanently);

“closure” has the same meaning as in Part 4 of the Railways Act 2005 (see section 45 of that Act); “closure requirement” means a requirement imposed under section 33 of that Act;

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Railways Act 2005

Information to be provided to Competition Commission with proposal for relevant changes

10

Commencement of Schedule

11

SCHEDULE 5

Part 1 — Introductory

1

Part 2 — Members and staff

Remuneration etc. of members

2

Staff

3

4

5

Part 3 — Finance

Government grants

6

Direction requiring payment to the Secretary of State

7

Accounts and audit

8

9

Part 4 — Financial framework and information

Financial framework

10

Annual reports

11

Information

12

Part 5 — Status and supplementary powers

Status

13

Supplementary powers

14

Part 6 — Procedure

Regulation of procedure

15

Admission of the public to meetings

16

17

Local committees

18

Execution of documents

19

SCHEDULE 6

Members of LTUC to represent users of services in London railway area

1

General duty of LTUC to keep railway matters under review

2

Duty of LTUC to investigate matters

3

Power of Secretary of State to exclude matters from duties of LTUC

4

Duty of Rail Passengers' Council to refer matters to the LTUC

5

SCHEDULE 7

Introductory

1

Newspaper notification

2

Specific notification to particular persons

3

Interpretation of Schedule

4

5

6

SCHEDULE 8

Introductory

1

Notice of proposal

2

Objections etc.

3

Consideration of objections and report to Mayor of London

4

Consent of Mayor to closure

5

SCHEDULE 9

Introductory