§ Mr. AllenTo ask the Secretary of State for Transport what provisions exist in respect of local authority-owned regional airports from borrowing money for airport development. [11305]
§ Mr. NorrisCapital finance for local authority-owned airports in England and Wales is governed by part IV of the Local Government and Housing Act 1989. This applies directly in the case of the smaller airports. In the case of the larger airports, which are structured as public airport companies, part IV has been applied by the Public Airport Companies (Capital Finance) Order 1990, as amended. It is open to local authorities to make use of their basic credit approvals or of any other forms of credit cover available to them under the 1989 Act. For public airport companies, this includes in particular their undistributed profits. In addition, my right hon. Friend the Secretary of State for Transport may issue supplementary credit approvals—SCAs—for specified projects. For Scotland, borrowing consents under section 94 of the Local Government (Scotland) Act 1973 may be considered.