New Towns Act 1959
| Jurisdiction | UK Non-devolved |
New Towns Act, 1959
(7 & 8 Eliz. 2) CHAPTER 62
An Act to make, as respects England and Wales, new provision in place of section fifteen of the New Towns Act, 1946, as to the disposal of the undertakings of development corporations and other matters arising when a development corporation has achieved or substantially achieved the purposes for which it is established; to amend the law relating to development corporations by increasing the limit on the advances which may be made to them under subsection (1) of section twelve of that Act, by providing for housing subsidies to be wholly or partly withheld in respect of dwellings disposed of by them, and by authorising them to make contributions towards the provision of amenities; and for purposes connected with the matters aforesaid.
Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows:—
Part I
and Related MattersDisposal of Undertakings of Development Corporations,
1 Preliminary.
1. As respects England and Wales, the provision made by section fifteen of the New Towns Act, 1946, for the dissolution of development corporations and the disposal of their undertakings shall not have effect, and instead their assets and liabilities shall be disposed of, and the corporations shall be dissolved, in accordance with the provisions of this Part of this Act.
2 Establishment and functions of Commission for the New Towns.
(1) There shall be a body corporate by the name of the Commission for the New Towns having perpetual succession, a common seal and power to hold land without licence in mortmain, and incorporated for the purpose of taking over, holding, managing and turning to account the property previously vested in the development corporation for a new town and transferred to the Commission by an order under this Act.
(2) It shall be the general duty of the Commission to maintain and enhance the value of the land held by them and the return obtained by them from it, but in discharging their functions in relation to any town the Commission shall have regard to the purpose for which the town was developed under the New Towns Act, 1946, and to the convenience and welfare of persons residing, working or carrying on business there.
(3) The Commission in discharging their functions shall comply with such directions as may be given to them by the Minister of Housing and Local Government (in this Act referred to as ‘the Minister’), but in giving any such direction he shall have regard to the provisions of subsection (2) of this section.
(4) Subject to the provisions of this Act and to any direction given to them by the Minister, the Commission shall have power, with a view to the better fulfilment of the purpose mentioned in subsection (1) of this section by the improvement of any of their towns, or to the convenience or welfare of persons residing, working or carrying on business there,—
(a ) to acquire (otherwise than by transfer under this Act). hold, manage and turn to account land situated in or near the town, or any interest in or rights over such land;
(b ) with the approval of the Minister given with the concurrence of the Treasury, to make contributions towards the cost of providing amenities for the town, or of providing for it water supplies or sewerage or sewage disposal services;
(c ) to promote or assist by any means, and in particular by making advances towards the cost of purchasing land, or of erecting, extending, improving or adapting buildings or works, the setting up or extension of businesses in the town;
(d ) to dispose of any property for such purposes and in such manner as they think fit.
(5) The Commission shall not without the authority given generally or specially of the Minister—
(a ) transfer the freehold in any land, or grant a lease of any land for a term of more than ninety-nine years, except in the case of a private dwelling and in pursuance of an agreement to make the transfer or grant to the person occupying or proposing to occupy it as his residence; or
(b ) develop or redevelop any land, except in accordance with proposals submitted to the Minister and approved by him.
(6) The Commission shall not have power to dispose by way of gift, mortgage or charge of any land or, except as provided by paragraph (b ) of subsection (4) of this section, of any other property; nor shall they have power to borrow money except by way of advance from the Minister under this Act.
(7) Where it appears to the Minister, after consultation with the Treasury and with the Commission, that the Commission have a surplus whether on capital or on revenue account after making allowance by way of transfer to reserve or otherwise for their future requirements (including any contributions that may be required to be made in any of their towns under the last mentioned paragraph (b )), the Commission shall, if the Minister after such consultation as aforesaid so directs, pay to the Minister such sum not exceeding the amount of that surplus as may be specified in the direction; and any sum received by the Minister under this subsection shall be paid into the Exchequer.
(8) It is hereby declared that the Commission is not to be regarded as the servant or agent of the Crown or as enjoying any status, immunity or privilege of the Crown, and no property of the Commission is to be regarded as property of, or held on behalf of, the Crown; and nothing in this Act, except the express provision relating to stamp duty, shall be construed as exempting the Commission from liability to any tax, duty, rate, levy or other charge whatsoever, whether general or local.
(9) A transaction between a person and the Commission shall not be invalidated by reason of any non-compliance by the Commission with subsection (2) or subsection (3) of this section, unless the transaction is carried out in contravention of a direction of the Minister and that person had actual notice of the direction; nor shall any such transaction be invalidated by reason of any non-compliance by the Commission with the requirement of subsection (4) that they shall exercise the powers conferred by that subsection with the view there mentioned.
(10) References in this section to disposing of property, or of land, shall be construed as including references to granting any interest in or rights over it.
(11) The provisions of the First Schedule to this Act shall have effect with respect to the constitution and proceedings of the Commission and other matters relating to the Commission and its members.
(12) The Commission shall come into being on such date as the Minister may appoint by order made by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.
3 Advances by Minister to Commission.
(1) For the purpose of enabling the Commission to meet liabilities properly chargeable to capital account (including the provision of working capital), or to make good to revenue account sums applied in meeting liabilities so chargeable, the Minister may make to the Commission advances repayable over such periods and on such terms as may be approved by the Treasury; but, subject to the following provisions of this Act, the aggregate amount outstanding at any time of advances made under this subsection shall not exceed five million pounds.
(2) The Minister may also advance to the Commission any sums required by them to meet a deficit on revenue account, and any such advance shall be repayable over such period and shall be made on such terms as may be approved by the Treasury; but the aggregate amount of the advances made under this subsection shall not exceed one million pounds.
(3) The Treasury may issue to the Minister out of the Consolidated Fund such sums as are necessary to enable him to make advances to the Commission under this section.
(4) For the purpose of providing the whole or part of any sum to be issued under subsection (3) of this section, or of providing for the replacement in whole or in part of any sum so issued, the Treasury may, at any time, if they think fit, raise money in any manner in which they are authorised to raise money under the National Loans Act, 1939, and any securities created and issued to raise money under this subsection shall be deemed for all purposes to have been created and issued under that Act.
(5) Any sums received by the Minister by way of repayment of or interest on advances under this section shall be paid into the Exchequer; and the Minister shall lay before each House of Parliament a statement of any sums payable to him by way of repayment of or interest on any such advances and not duly received by him.
(6) The sums paid into the Exchequer under subsection (5) of this section shall be issued out of the Consolidated Fund at such times as the Treasury may direct, and shall be applied by the Treasury as follows, that is to say—
(a ) so much of those sums as represents principal shall be applied in redeeming or paying off debt of such description as the Treasury think fit; and
(b ) so much of those sums as represents interest shall be applied towards meeting such part of the annual charges for the national debt as represents interest.
(7) The whole or part of any payment made to the Minister by the Commission under subsection (7) of section two of this Act shall, if the Minister with the approval of the Treasury so determines, be treated as made by way of repayment of such part of the principal of advances under this section, and as made in respect of the repayments due at such times, as may be so...
To continue reading
Request your trial