National Lottery Bill

House of Commons

Session 2005 - 06
Internet Publications
Other Bills before Parliament

National Lottery Bill

National Lottery Bill
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(2)
After section 36A of that Act (inserted by section 13 above) insert—
“36B
Power to distribute funds
(1)
The Big Lottery Fund may make grants or loans, or make or enter into
other arrangements, for the purpose of complying with section 25(1).
(2)
A grant or loan may be subject to conditions (which may, in particular,
5
include conditions as to repayment with interest).
(3)
The Secretary of State may by order make provision limiting the
amounts distributed under subsection (1).
(4)
An order under subsection (3) may in particular—
(a)
specify a maximum amount that may be distributed during a
10
specified period for expenditure of a description prescribed
under section 22(3A);
(b)
specify a minimum amount that must be distributed during a
specified period for expenditure of a description prescribed
under section 22(3A);
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(c)
make provision by reference to the aggregate of amounts
distributed, to a percentage of amounts available for
distribution or otherwise;
(d)
make provision (which may, in particular, confer a power on
the Fund) for the treatment of expenditure which satisfies more
20
than one prescribed description.
(5)
Before making an order under subsection (3) the Secretary of State shall
consult—
(a)
the Fund,
(b)
the National Assembly for Wales,
25
(c)
the Scottish Ministers,
(d)
the Northern Ireland Department of Culture, Arts and Leisure,
and
(e)
such other persons (if any) as he thinks appropriate.
36C
Non-lottery funds
30
(1)
The Fund may enter into an arrangement with a person under which—
(a)
the person pays money to the Fund, and
(b)
the Fund distributes the money to a third party.
(2)
An arrangement under subsection (1) may, in particular—
(a)
identify the third party, or
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(b)
otherwise limit the Fund’s freedom of action in relation to the
distribution of the money paid under the arrangement.
(3)
The Fund shall distribute money received under subsection (1) for
meeting expenditure that is—
(a)
charitable,
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(b)
connected with health,
(c)
connected with education, or
(d)
connected with the environment.

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(4)
The reference in subsection (3) to the distribution of money received
under subsection (1) is a reference to doing anything of a kind that the
Fund can do under section 36B.
(5)
A reference in this Act to payment under section 25(1) shall include a
reference to payment under subsection (3) above.”
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36D
Power to give advice
(3)
The Big Lottery Fund may give advice about—
(a)
the distribution of money under any provision of this Act;
(b)
inviting, making or considering applications for grants and
loans under any provision of this Act;
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(c)
the use of money paid under any provision of this Act.
36E
Directions
(1)
In exercising any of its functions the Big Lottery Fund shall comply
with any direction given to it by the Secretary of State (subject to
subsection (4)).
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(2)
A direction under this section may, in particular—
(a)
specify persons to whom the Fund may or may not make grants
or loans;
(b)
specify purposes for which the Fund may or may not make
grants or loans;
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(c)
relate to the process used to determine what payments to make;
(d)
relate to the terms and conditions on which the Fund makes
grants or loans.
(3)
A direction under this section may, in particular—
(a)
relate to the management and control of money received by the
25
Fund;
(b)
relate to the employment of staff;
(c)
with the consent of the Treasury, relate to—
(i)
the form of accounts, or
(ii)
methods and principles for the preparation of accounts;
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(d)
in so far as it relates to a matter specified in paragraphs (a) to
(c)—
(i)
relate to the persons to whom or the terms on which the
Fund delegates functions;
(ii)
require the Fund to obtain the Secretary of State’s
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consent before taking action of a specified kind;
(iii)
require the Fund to provide information to the Secretary
of State.
(4)
A direction under this section, other than a direction given by virtue
only of subsection (3), may not be given by the Secretary of State in
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relation to Welsh, Scottish or Northern Ireland devolved expenditure,
but—
(a)
may be given by the National Assembly for Wales in relation to
Welsh devolved expenditure,
(b)
may be given by the Scottish Ministers in relation to Scottish
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devolved expenditure, and

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(c)
may be given by the Northern Ireland Department of Culture,
Arts and Leisure in relation to Northern Ireland devolved
expenditure.
(5)
Before giving a direction under this section, other than by virtue only
of subsection (3), the Secretary of State shall consult—
5
(a)
the Fund,
(b)
the National Assembly for Wales,
(c)
the Scottish Ministers, and
(d)
the Northern Ireland Department of Culture, Arts and Leisure.
(6)
But subsection (5)(b) to (d) shall not apply to a direction which relates
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only to English devolved expenditure.
(7)
Before giving a direction to the Fund by virtue only of subsection (3) the
Secretary of State shall consult the Fund.
(8)
Before giving a direction to the Fund by virtue of subsection (4)(a) to (c)
the person giving the direction shall—
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(a)
consult the Fund, and
(b)
obtain the consent of the Secretary of State.
(9)
A report of the Fund under section 34 shall set out any directions given
to the Fund under subsection (1) that had effect during the financial
year to which the report relates.”
20
Dissolution of old distributors
15
Dissolution
(1)
The Secretary of State may by order provide that one or more of the following
shall cease to exist—
(a)
the National Lottery Charities Board,
25
(b)
the Millennium Commission, and
(c)
the New Opportunities Fund.
(2)
An order under subsection (1) may include consequential, incidental or
transitional provision (which may include provision amending an enactment,
whether by removing a reference to a body, by substituting a reference to the
30
Big Lottery Fund, or otherwise).
(3)
An order under subsection (1)—
(a)
shall be made by statutory instrument,
(b)
if it contains provision amending an enactment, shall not be made
unless a draft has been laid before and approved by each House of
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Parliament, and
(c)
in any other case, shall be subject to annulment in pursuance of a
resolution of either House of Parliament.
16
Transfer of property, &c.
(1)
In this section—
40
“old lottery distributor” means a body dissolved by section 15, and
“the appointed day” means the day appointed under section 15(1).

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(2)
The property, rights and liabilities to which an old lottery distributor was
entitled or subject immediately before the appointed day shall on that day vest
in the Big Lottery Fund by virtue of this subsection.
(3)
Anything done by or in relation to an old lottery distributor which has effect
immediately before the appointed day shall, so far as necessary for continuing
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its effect after that day, have effect as if done by or in relation to the Fund.
(4)
Anything (including any legal proceedings) which immediately before the
appointed day is in the process of being done by or in relation to an old lottery
distributor may be continued by or in relation to the Fund.
(5)
So far as necessary or appropriate in consequence of subsection (2), on and
10
after the appointed day—
(a)
a reference to an old lottery distributor in an agreement (whether
written or not), instrument or other document shall be treated as a
reference to the Fund, and
(b)
a reference in an agreement (whether written or not), instrument or
15
other document to a member or officer of an old lottery distributor shall
be treated as a reference to a person appointed for the purpose in
writing by the Fund.
(6)
The Fund must provide information on request about an appointment under
subsection (5)(b).
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(7)
Subsection (2) shall operate in relation to property, rights or liabilities—
(a)
whether or not they would otherwise be capable of being transferred,
(b)
without any instrument or other formality being required, and
(c)
irrespective of any requirement for consent that would otherwise
apply.
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(8)
In so far as subsection (2) transfers liabilities under contracts of employment—
(a)
nothing in this section shall affect the operation of the Transfer of
Undertakings (Protection of Employment) Regulations 1981 (S.I. 1981/
1794), and
(b)
the Secretary of State shall not appoint the appointed day unless
30
satisfied that sufficient notice has been given to enable compliance with
any applicable requirement of those regulations.
(9)
Without prejudice to the generality of subsections (3) and (4), the Big Lottery
Fund may do anything it thinks necessary or expedient for the purpose of
giving effect to a decision, agreement or undertaking of an old lottery
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distributor (whether in respect of a grant or loan or otherwise) irrespective of
whether the Big Lottery Fund would have the power under the National
Lottery etc. Act 1993 (c. 39), as amended by this Act, to make that decision or
agreement or to give that undertaking.
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Outstanding balances
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(1)
Money that immediately before the appointed day is held in the National
Lottery Distribution Fund for distribution by an old lottery distributor shall on
that day be treated as—
(a)
allocated under section 22(3)(d) of the National Lottery etc. Act 1993 (as
substituted by section 7 above), and
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(b)
held in the Distribution Fund for distribution by the Big Lottery Fund
in accordance with section 23(4) of that Act (as substituted by section 14
above).
(2)
Money transferred under section 16(2) to the Big Lottery Fund having been
paid to an old lottery distributor under section 24 of the National Lottery etc.
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Act 1993 (c. 39) shall be treated as having been paid to the Fund under that
section.
(3)
In this section—
“old lottery distributor” means a body dissolved by section 15, and
“the appointed day” means the day appointed under section 15(1).
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Consequential amendments
(1)
The National Lottery etc. Act 1993 shall be amended as follows.
(2)
In section 25C(3)(a) for “or 43C(1),” substitute “or 36E,”.
(3)
At the end of section 26 (directions to distributing bodies) add—
“(6)
This section does not apply to the Big Lottery Fund.”
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(4)
In section 34 (annual reports)—
(a)
omit subsection (4), and
(b)
in the heading omit “other than Millennium Commission”.
(5)
In section 35 (accounts)—
(a)
in subsection (7) for “the National Lottery Charities Board, the
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Millennium Commission or the New Opportunities Fund” substitute
“the Big Lottery Fund”, and
(b)
in the heading for “Charities Board and Millennium Commission”
substitute “the Big Lottery Fund”.
(6)
The following shall cease to have effect—
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(a)
sections 37 to 39 (the National Lottery Charities Board),
(b)
sections 40 to 43 (the Millennium Commission), and
(c)
sections 43A to 43D (the New Opportunities Fund).
(7)
In section 44(1) (interpretation) omit the entry for “the Charities Board”.
(8)
In section 60 of that Act (orders and regulations)—
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(a)
in subsection (2) for paragraph (a) substitute—
“(a)
section 22(3A), 28 or 36B(3),”, and
(b)
in subsection (2A) for “section 43B.” substitute “section 22(3A) or
36B(3).”
(9)
The following shall cease to have effect—
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(a)
Schedule 5 (National Lotteries Charities Board),
(b)
Schedule 6 (the Millennium Commission), and
(c)
Schedule 6A (the New Opportunities Fund).
(10)
In Schedule 5 to the Government of Wales Act 1998 (c. 38) (persons who may
be compelled to attend proceedings of or provide documents to the National
40
Assembly for Wales) after paragraph 7 insert—
“7A
The Big Lottery Fund.”