Railways Bill

House of Commons

Session 2004 - 05
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Railways Bill

Railways Bill
Schedule 11 — Miscellaneous amendments of 1993 Act
126

      (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
5
Section 53

Miscellaneous amendments of 1993 Act
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
10
“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
15
(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
20
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)
25
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”.
30
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
35
6     (1)
In section 54 (purposes for which franchising functions may be exercised), in
subsection (1)—

Railways Bill
Schedule 11 — Miscellaneous amendments of 1993 Act
127

(a)
for the “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—
5
“(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
10
(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”;
15
(b)
in paragraph (a), for “of the Authority’s functions” substitute “of the
functions of the Secretary of State or of the Scottish Ministers”;
(c)
in that paragraph, for “35” substitute “31”; and
(d)
in paragraph (b), for “Schedule 21 to the Transport Act 2000”
substitute “section 1(2) of the Railways Act 2005”;
20

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 43 of the
25
Railways Act 2005 (exclusion of liability for breach of statutory duty)”.
      (2)
In subsection (10) of that section, 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
30
subject;”.
      (3)
For the definition of “relevant operator” in that subsection substitute—
“‘relevant operator’ means—
(a)
a licence holder;
(b)
a franchisee;
35
(c)
a franchise operator who is a party to the franchise
agreement;
(d)
a person under closure restrictions.”
      (4)
In subsection (11) of that section, for paragraphs (a) and (b) substitute “who
is under—
40
(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;
45

Railways Bill
Schedule 11 — Miscellaneous amendments of 1993 Act
128

(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
5
modification determination).”
      (5)
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
10
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
15
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—
20
(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
25
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.”
Financial assistance from the Secretary of State to companies in railway administration
30
8     (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
35
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
40
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
45
indemnify a relevant person—

Railways Bill
Schedule 11 — Miscellaneous amendments of 1993 Act
129

(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
5
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
10
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
15
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—
20
(a)
the references in this section to the railway administrator, in
relation to a railways 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
25
(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—
30
“(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
35
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.
40
(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
45
under subsection (4A) and for the making of a determination under
subsection (4B).”

Railways Bill
Schedule 11 — Miscellaneous amendments of 1993 Act
130

Register kept by ORR
9     (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”;
5
(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
10
service designated as experimental;”
(c)
after that paragraph insert—
“(da)
in relation to closures, the provisions of—
(i)
every closure ratification notice or closure
non-ratification notice (within the meaning of
15
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
20
10    (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
25
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
30
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
35
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
11
In section 80(1) (duty of licence holders to provide information to the
40
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 of his or theirs in relation to railway services”.
General interpretation
12
In section 83(1) (interpretation of Part 1)—
45

Railways Bill
Schedule 11 — Miscellaneous amendments of 1993 Act
131

(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;
5
‘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
10
alternative to the whole or a part of a railway
passenger service that has been discontinued,
reduced or modified (whether temporarily or
permanently);”
(c)
for the definitions of “closure and “closure conditions” substitute—
15
“‘closure’ has the same meaning as in Part 4 of the
Railways Act 2005 (see section 44 of that Act);
‘closure requirement’ means a requirement imposed
under section 33 of that Act;”.
Competent authority status for the purposes of grants and loans under EU regulations
20
13    (1)
In subsection (1) of section 136 (competent authorities in relation to railways
financial status regulations), for “shall continue to” substitute “and the
Scottish Ministers shall each”.
      (2)
In subsection (2) of that section (competent authority in respect of freight
services for the purposes of the public service obligation regulations), for
25
“shall be” substitute “, the Scottish Ministers and, to the extent specified in
subsection (2A) below, the National Assembly for Wales shall each be”.
      (3)
After that subsection insert—
“(2A)
For the purposes of subsection (2) above the National Assembly for
Wales shall only be the competent authority in relation to services for
30
the carriage of goods by railway which are operated within Wales.”
      (4)
In subsection (3) of that section (competent authority in respect of passenger
services for the purposes of the public service obligation regulations), after
paragraph (a) insert—
“(aa)
the Scottish Ministers;
35
(ab)
to the extent specified in subsection (3A) below, the National
Assembly for Wales;”.
      (5)
After that subsection insert—
“(3A)
For the purposes of subsection (3) above the National Assembly for
Wales shall only be the competent authority in relation to services for
40
the carriage of passengers by railway which—
(a)
are Welsh services (within the meaning of the Railways Act
2005); or
(b)
are provided under a franchise agreement to which the
Assembly is a party.”
45

Railways Bill
Schedule 12 — Other minor and consequential amendments
132

      (6)
In subsection (4) of that subsection (extent to which a PTE are a competent
authority), for paragraphs (a) and (b) substitute “which the Executive
provide, or secure are provided, in exercise of their powers under section
10(1) of the Transport Act 1968 or section 13 of the Railways Act 2005”.
      (7)
Sub-paragraph (6) shall not affect the extent to which the competent
5
authorities for the purposes of the public service obligations regulations
include a Passenger Transport Executive in relation to railway passenger
services provided under a franchise agreement to which the Executive
continues to be a party by virtue of section 14(2) of this Act.
Powers to make statutory instruments
10
14
In subsections (1), (3) and (4) of section 143 (powers to make statutory
instruments), after the “Secretary of State”, in each place, insert “or the
Scottish Ministers”.
Restrictions on disclosure of information
15    (1)
In subsection (2) of section 145 (purposes for which information obtained
15
under the 1993 Act may be disclosed)—
(a)
in paragraph (a)—
(i)
after “the Secretary of State,” insert “the Scottish Ministers,”;
and
(ii)
for “or the Transport Act 2000” substitute “, the Transport Act
20
2000 or the Railways Act 2005”;
(b)
after that paragraph insert—
“(aa)
for the purpose of facilitating the carrying out or
carrying on by the Secretary of State or the Scottish
Ministers of any other functions or activities of his or
25
theirs in relation to railways or railway services;”.
      (2)
In subsection (5) of that section, for “the Rail Passengers’ Council or a Rail
Passengers’ Committee” substitute “or the Rail Passengers’ Council”.
Schedule 12
Section 58

Other minor and consequential amendments
30
Transport Act 1962 (c. 46)
1     (1)
The Transport Act 1962 is amended as follows.
      (2)
In section 43 (general provisions about services and facilities provided and
charges imposed by the British Waterways Board and the SRA)—
(a)
in subsections (1), (2) and (5), omit “or the Strategic Rail Authority”;
35
(b)
in subsection (3), omit “and the Strategic Rail Authority”; and
(c)
in subsections (4) and (6), for the words from “Neither” to “shall”
substitute “The British Waterways Board shall not”.
      (3)
In section 56 (transport consultative committees)—
(a)
in subsection (4)—
40