§ Provisions as to Loans of Rural District Councils for special Expenses.
§ 6. "As from the appointed day, any sum borrowed or reborrowed before that date by the council of a rural district on the credit of any rate out of which special expenses of the council are payable shall be deemed to have been borrowed also upon the credit of any moneys from time to time received by the council under this Act and applicable for 1291 the purposes for which the loan was contracted, and any mortgage for the purpose of securing the repayment of any sum so borrowed with interest thereon shall have effect accordingly."
§ This is one of two provisions in respect of loans to rural district councils which require to be made in consequence of the de-rating provisions of the Bill. There are certain services provided by these local authorities and the loans which they raise for the purpose of providing them are based upon the credit of any rate or rates out of which such expenses are paid. Now that we are to have a large amount of de-rating or partial de-rating, the security to the lenders would be considerably diminished if they were still limited to the rateable value. The Bill provides for the making up of the loss of rates to the local authorities by grants from the Exchequer or from the County Apportionment or from the County Council, as the case may be. The purpose of the provision which I now move is to provide that all these moneys which are to be paid in for that purpose shall be brought into account as serving the credit of the existing loans in place of the rateable value which has been lost. This particular provision deals with existing loans, while Schedule 10 deals with future loans.
§ Amendment agreed to.
§ Sir K. WOODI beg to move, in page 121, line 14, to leave out the words "or any officers."
It has been suggested by those who are interested that the reference in this paragraph to officers transferred by this Act has the effect of limiting the paragraph to officers who are technically transferred officers and thereby excluding from the benefit of the paragraph those officers who are not transferred officers, but have ordinary contractual rights against the guardians. In order to make perfectly plain that this paragraph covers those cases, I am moving this Amendment to omit those words and thereby enlarge the scope of this paragraph and so meet the point which has been raised.
§ Amendment agreed to.