Regulatory Enforcement and Sanctions Act 2008
2008 c. 13
An Act to make provision for the establishment of the Local Better Regulation Office; for the co-ordination of regulatory enforcement by local authorities; for the creation of civil sanctions in relation to regulatory offences; for the reduction and removal of regulatory burdens; and for connected purposes. 9
[21st July 2008]
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:—
(1) In this Part references to a local authority in England are to any of the following—
(a) a county or district council in England;
(b) a London borough council;
(c) the Common Council of the City of London;
(d) the Sub-Treasurer of the Inner Temple and the Under-Treasurer of the Middle Temple;
(e) the Council of the Isles of Scilly;
(f) a fire and rescue authority in England (not being an authority referred to in paragraphs (a) to (e));
(g) a port health authority in England (not being an authority referred to in paragraphs (a) to (e));
(h) an authority established under section 10 of the Local Government Act 1985 (c. 51) (waste disposal authorities for Greater London and metropolitan counties).
(2) In this Part references to a local authority in Wales are to any of the following—
(a) a county or county borough council in Wales;
(b) a fire and rescue authority in Wales (not being a county or county borough council);
(c) a port health authority in Wales (not being a county or county borough council).
(1) In this Part “relevant function”, in relation to a local authority in England or Wales, means—
(a) a function under a relevant enactment of imposing requirements, restrictions or conditions, or setting standards or giving guidance, in relation to any activity, or
(b) a function which relates to the securing of compliance with, or the enforcement of, requirements, restrictions, conditions, standards or guidance which under or by virtue of a relevant enactment relate to any activity.
(2) In subsection (1) “relevant enactment” means—
(a) an enactment specified in Schedule 3 or an enactment made under such an enactment;
(b) an enactment to which subsection (3) applies.
(3) This subsection applies to any enactment made under section 2(2) of the European Communities Act 1972 (c. 68) with respect to any of the following matters—
(a) agricultural produce (quality standards and labelling);
(b) animal health and welfare;
(c) animal feed;
(d) consumer protection;
(e) environmental protection;
(f) food hygiene and standards;
(g) public health and safety;
(h) weights and measures (including measuring instruments).
(4) The Secretary of State may by order—
(a) amend Schedule 3 so as to add any enactment to it or to remove any enactment from it;
(b) amend subsection (3) so as to add any matter to it or remove any matter from it.
(5) An order under subsection (4) may make different provision for different purposes (including different provision in relation to local authorities in England and Wales respectively).
(6) An order under subsection (4) requires the consent of the Welsh Ministers to make provision, in relation to local authorities in Wales, in respect of a devolved Welsh matter.
(7) The Secretary of State may by order determine whether, for the purposes of subsection (3), an enactment made under section 2(2) of the European Communities Act 1972 is made with respect to any of the matters specified in that subsection.
(8) An order under subsection (7) requires the consent of the Welsh Ministers where—
(a) the determination affects the application of this Part in relation to local authorities in Wales, and
(b) the enactment made under section 2(2) of the European Communities Act 1972 relates to a devolved Welsh matter.
(9) In subsection (1)—
(a) references to a function do not include a function of conducting criminal or civil proceedings;
(b) references to an activity include providing goods and services and employing or offering employment to any person.
(1) In exercising their functions under sections 6 to 10 the Secretary of State and the Welsh Ministers have the objective of securing that local authorities in England and Wales exercise their relevant functions—
(a) effectively,
(b) in a way which does not give rise to unnecessary burdens, and
(c) in a way which conforms with the principles in subsection (2).
(2) Those principles are that—
(a) regulatory activities should be carried out in a way which is transparent, accountable, proportionate and consistent;
(b) regulatory activities should be targeted only at cases in which action is needed.
(1) It is a function of the Secretary of State to give guidance to—
(a) one or more local authorities in England,
(b) one or more local authorities in Wales, or
(c) local authorities in England and Wales
as to how to exercise their relevant functions (other than functions relating to devolved Welsh matters).
(1A) It is a function of the Welsh Ministers to give guidance to one or more local authorities in Wales as to how to exercise their relevant functions which relate to devolved Welsh matters.
(2) Guidance under subsection (1) or (1A) —
(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b) may relate to any one or more relevant functions;
(c) may relate to the exercise of one or more relevant functions in a particular case.
(3) A local authority in England or Wales must have regard to any guidance given to it under this section.
(4) Before giving guidance under this section in relation to any relevant function the person giving the guidance must consult—
(a) the persons whose activities are regulated by the exercise of the function, or persons representative of such persons,
(b) such local authorities in England and Wales, or such persons representative of local authorities in England and Wales, as the person giving the guidance considers appropriate, and
(c) such other persons as the person giving the guidance considers appropriate.
(5) The person giving guidance under this section must publish it in such manner as that person considers appropriate.
(6) The person giving the guidance may vary or revoke any guidance given ... under this section by further guidance under this section.
(1) The Secretary of State may at any time give advice or make proposals to the Welsh Ministers on—
(a) the way in which any one or more local authorities in Wales exercise any of their relevant functions in relation to any devolved Welsh matter;
(b) the effectiveness of legislation (or proposed legislation) relating to the exercise by local authorities in Wales of their relevant functions in relation to any such matter;
(c) whether any other regulatory functions could appropriately be exercised by local authorities in Wales in relation to any such matter;
(d) anything else relating to the exercise by local authorities in Wales of their relevant functions in relation to any such matter.
(2) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1) The Secretary of State must prepare and publish a list specifying those matters to which a local authority in England should give priority when allocating resources to its relevant functions.
(1A) The Welsh Ministers must prepare and publish a list specifying those matters to which a local authority in Wales should give priority when allocating resources to its relevant functions.
(2) A local authority in England or Wales must have regard to the appropriate list under subsection (1) or (1A) when allocating resources to its relevant functions.
(3) Before publishing a list under subsection (1) the person preparing the list must consult such persons as that person considers appropriate.
(4) The person preparing the list must publish details of any representations made ... pursuant to subsection (3).
(5) Before publishing a list under subsection (1A), the Welsh Ministers must consult the Secretary of State.
(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(7) A list published under this section must be reviewed from time to time by the person who published it.
(8) A list revised as a result of a review under subsection (7) must be published (and subsections (2) to (7) have effect in relation to it).
(1) The Secretary of State and a regulator to which this section applies must enter into a memorandum of understanding with each other as to how they will work together in the exercise of their respective functions.
(2) This section applies to the following regulators—
(a) the Environment Agency;
(b) the Food Standards Agency;
(c) the Gambling Commission;
(d) the Health and Safety Executive;
(e) the Competition and Markets Authority .
(3) The Secretary of State must consult the Welsh Ministers about—
(a) revising an existing memorandum of understanding, or
(b) entering into a new one,
which relates to a devolved Welsh matter.
(1) The Welsh Ministers may give the Secretary of State —
(a) guidance, ...
(b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
as to the exercise in relation to Wales of any of the Secretary of State’s functions under this Act so far as they relate to a devolved Welsh matter.
(2) Before giving any guidance ... under this section the Welsh Ministers must consult—
(a) the Secretary of State , and
(b) such other persons as the Welsh Ministers consider likely to be affected by the guidance ..., or persons representative of such persons.
(3) The Welsh Ministers must—
(a) publish (in such manner as they consider appropriate) any guidance ... given under this section, and
(b) lay a copy of any such guidance ... before the National Assembly for Wales.
(4) The Secretary of State must have regard to any guidance... given under this section.
(5) The Welsh Ministers may vary or revoke any guidance ... given under this section by further guidance ... under this section.
(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(1) The Secretary of State may by order—
(a) provide for LBRO to be dissolved, and
(b) make consequential, supplementary, incidental and transitional provision in relation to its dissolution.
(2) An order under subsection (1) may in particular—
(a) provide for the transfer of the property, rights and liabilities of LBRO to another person;
(b) provide for the transfer of the functions of LBRO to another person;
(c) provide that anything done by or in relation to LBRO is, so far as is necessary for continuing its effect, to have effect as if done by or in relation to another person;
(d) provide for anything (which may include legal proceedings) which is in the process of being done by or in relation to LBRO when a transfer under the order takes effect to be continued by or in relation to another person;
(e) provide for a reference to LBRO in an enactment, instrument or other document to be treated as a reference to another person.
(3) Provision under subsection (2)(a) may include provision for property, rights or liabilities to be transferred—
(a) whether or not they would otherwise be capable of being transferred,
(b) without any instrument or other formality being required, and
(c) despite any provision (of whatever nature) which would otherwise prevent, penalise or restrict their transfer.
(4) Provision under subsection (2)(a) for the transfer of rights and liabilities relating to employees of LBRO must include provision for the Transfer of Undertakings (Protection of Employment) Regulations 2006 (SI 2006/246) to apply in relation to the transfer.
(5) Provision under subsection (2)(a) or (b) may include provision establishing a body corporate to which property, rights and liabilities, or functions, are transferred.
(6) Before making an order under this section the Secretary of State must consult—
(a) the Welsh Ministers, and
(b) such persons (or persons representative of such persons) as appear to the Secretary of State to be substantially affected by the dissolution of LBRO.
(7) The provision which may be made by an order under this section may be made by repealing, revoking or amending an enactment (whenever passed or made).
(1) Where an order under section 18 makes provision under subsection (2)(a) of that section, the Treasury may by regulations make provision for varying the way in which a relevant tax has effect in relation to—
(a) the property, rights or liabilities transferred, or
(b) anything done for the purposes of, or in relation to, the transfer.
(2) The provision which may be made under subsection (1)(a) includes in particular provision for—
(a) a tax provision not to apply, or to apply with modifications, in relation to the property, rights or liabilities transferred;
(b) the property, rights or liabilities transferred to be treated in a specified way for the purposes of a tax provision;
(c) the Secretary of State to be required or permitted, with the consent of the Treasury, to determine, or specify the method for determining, anything which needs to be determined for the purposes of any tax provision so far as relating to the property, rights or liabilities transferred.
(3) The provision which may be made under subsection (1)(b) includes in particular provision for—
(a) a tax provision not to apply, or to apply with modifications, in relation to anything done for the purposes of, or in relation to, the transfer;
(b) anything done for the purposes of, or in relation to, the transfer to have or not have a specified consequence or be treated in a specified way;
(c) the Secretary of State to be required or permitted, with the consent of the Treasury, to determine, or specify the method for determining, anything which needs to be determined for the purposes of any tax provision so far as relating to anything done for the purposes of, or in relation to, the transfer.
(4) In this section—
“relevant tax” means income tax, corporation tax, capital gains tax, stamp duty or stamp duty reserve tax;
“tax provision” means a provision of an enactment about a relevant tax.
(1) An order or regulations under this Part must be made by statutory instrument.
(2) A statutory instrument containing an order made by the Secretary of State under section 4(7)... is subject to annulment in pursuance of a resolution of either House of Parliament.
(3) A statutory instrument containing an order made by the Secretary of State under section 4(4) or 18 may not be made unless a draft of the instrument has been laid before, and approved by resolution of, each House of Parliament.
(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(5) A statutory instrument containing regulations made by the Treasury under section 19 is subject to annulment in pursuance of a resolution of the House of Commons.
(A1) This Part applies in relation to a person if the Secretary of State is satisfied that the person is within subsection (1) or (1A).
(1) A person is within this subsection if—
(a) the person carries on an activity in the area of two or more local authorities, and
(b) each of those authorities has the same relevant function in relation to that activity.
(1A) A person (P) is within this subsection if each of the conditions in subsection (1B) is met.
(1B) The conditions are—
(a) that P carries on an activity in relation to which a local authority exercises a relevant function;
(b) that the effect of arrangements made by P with any organisation or other person is that P's approach to compliance, in respect of the relevant function, is one that is shared with another person (Q) who carries on the activity;
(c) that—
(i) at least one of P and Q carries on the activity in the area of two or more local authorities, or
(ii) Q carries on the activity in the area of a local authority in which P does not carry on the activity.
(2) In this Part, references to “the regulated person” are to a person to whom this Part applies.
(3) The Secretary of State may from time to time publish guidance about matters likely to be taken into account for the purposes of subsection (1B)(b).
(4) The guidance may be published in such manner as the Secretary of State considers appropriate.
(1) In this Part “local authority” means a local authority in England, Wales, Scotland or Northern Ireland.
(2) In this Part references to a local authority in England or Wales have the same meaning as in Part 1.
(3) In this Part references to a local authority in Scotland are to a council constituted under section 2 of the Local Government etc. (Scotland) Act 1994 (c. 39).
(4) In this Part references to a local authority in Northern Ireland are to a district council constituted under section 1 of the Local Government Act (Northern Ireland) 1972 (c. 9).
(1) In this Part “relevant function”—
(a) in relation to a local authority in England or Wales, has the same meaning as in Part 1;
(b) in relation to a local authority in Scotland, means a regulatory function exercised by that authority and specified for the purposes of this Part by order made by the Secretary of State;
(c) in relation to a local authority in Northern Ireland, means a regulatory function exercised by that authority and specified for the purposes of this Part by order made by the Secretary of State.
(2) An order under subsection (1)(b) or (c) may only specify a regulatory function—
(a) which is a relevant function for the purposes of Part 1 in relation to local authorities in England or Wales or both, or
(b) which for the purposes of local authorities in Scotland or Northern Ireland is equivalent to such a function.
(3) An order under subsection (1)(b) may not specify a regulatory function so far as exercisable in Scotland, if or to the extent that the function relates to matters which are not reserved matters.
(4) An order under subsection (1)(c) may not specify a regulatory function so far as exercisable in Northern Ireland, if or to the extent that the function relates to matters which are transferred matters.
(5) In subsection (3) “reserved matter” and “Scotland” have the same meanings as in the Scotland Act 1998 (c. 46).
(6) In subsection (4) “transferred matter” and “Northern Ireland” have the same meanings as in the Northern Ireland Act 1998 (c. 47).
(7) References in this Part to “the relevant function”, in relation to the regulated person, are to the relevant function by reference to which the Secretary of State is satisfied that the person is within section 22(1) or (1A).
(1) For the purposes of this Part the Secretary of State may nominate a local authority to be the “primary authority” for the exercise of the relevant function in relation to the regulated person.
(2) Sections 27 to 32 apply in any case where a primary authority is nominated under this section in relation to the regulated person.
(1) The Secretary of State may only nominate a local authority under section 25(1) in relation to the regulated person if—
(a) the authority and the regulated person have agreed in writing to the nomination, or
(b) the regulated person has requested the Secretary of State to make a nomination under section 25(1) for the exercise of the relevant function in relation to the regulated person,
and the Secretary of State considers the authority suitable for nomination.
(2) Where the Secretary of State has been satisfied that the regulated person is within section 22(1), the Secretary of State may in particular consider as suitable for nomination under subsection (1)—
(a) the local authority in whose area the regulated person principally carries out the activity in relation to which the relevant function is exercised;
(b) the local authority in whose area the regulated person administers the carrying out of that activity.
(3) Before nominating a local authority under section 25(1) in the case referred to in subsection (1)(b) the Secretary of State must consult—
(a) that authority, and
(b) the regulated person.
(4) The Secretary of State must have particular regard to any representations made by a local authority pursuant to subsection (3) as to the resources available to it.
(5) The Secretary of State may at any time revoke a nomination under section 25(1) if—
(a) the Secretary of State considers that the authority is no longer suitable for nomination, or
(b) the Secretary of State considers it appropriate to do so for any other reason,
and subsections (2) to (4) apply in relation to a revocation of a nomination as in relation to a nomination.
(6) The Secretary of State must maintain, or cause to be maintained, a register of nominations under section 25(1).
(1) The primary authority has the function of—
(a) giving advice and guidance to the regulated person in relation to the relevant function;
(b) giving advice and guidance to other local authorities with the relevant function as to how they should exercise it in relation to the regulated person.
(2) The primary authority may make arrangements with the regulated person as to how it will discharge its function under subsection (1).
(1) Subject as follows, a local authority other than the primary authority (“the enforcing authority”) must notify the primary authority before taking any enforcement action against the regulated person pursuant to the relevant function.
(2) If the primary authority determines within the relevant period that the proposed enforcement action is inconsistent with advice or guidance previously given by the primary authority (generally or specifically), it may within that period direct the enforcing authority not to take the enforcement action.
(3) If the enforcing authority is not directed as specified in subsection (2) and continues to propose to take the enforcement action, it must inform the regulated person.
(4) The enforcing authority may not take the proposed enforcement action—
(a) at any time during the relevant period;
(b) at any time after the end of that period, if it is directed as specified in subsection (2).
(5) In this Part “enforcement action” means, subject to subsection (6)—
(a) any action which relates to securing compliance with any restriction, requirement or condition in the event of breach (or putative breach) of a restriction, requirement or condition;
(b) any action taken with a view to or in connection with the imposition of any sanction (criminal or otherwise) in respect of an act or omission;
(c) any action taken with a view to or in connection with the pursuit of any remedy conferred by an enactment in respect of an act or omission.
(6) The Secretary of State may by order with the consent of the Welsh Ministers specify action which is or is not to be regarded as enforcement action for the purposes of this Part.
(7) Schedule 4 (which makes provision for questions arising under this section to be referred to the Secretary of State) has effect.
(8) Where an enactment limits the period within which the enforcing authority may take the proposed enforcement action, any time during which the authority is prohibited under this section or Schedule 4 from taking the action is to be disregarded in calculating that period.
(9) For the purposes of this section “relevant period” means—
(a) the period of five working days beginning with the day after that on which the primary authority is notified under subsection (1), or
(b) such longer period beginning with that day as the Secretary of State may direct.
(10) In subsection (9)(b) “working day” means a day other than—
(a) a Saturday or Sunday,
(b) Christmas Day or Good Friday, or
(c) a day which is a bank holiday under the Banking and Financial Dealings Act 1971 (c. 80) in—
(i) the part of the United Kingdom where the primary authority is, or
(ii) (if different) the part of the United Kingdom where the enforcing authority is.
(1) The Secretary of State shall by order with the consent of the Welsh Ministers prescribe circumstances in which section 28(1) to (4) shall not apply.
(2) Where a local authority other than the primary authority takes enforcement action against the regulated person in circumstances prescribed under subsection (1), the authority must inform the primary authority of the enforcement action it has taken as soon as it reasonably can.
(3) The Secretary of State shall in particular under subsection (1) prescribe circumstances for the purpose of securing that section 28(1) to (4) shall not apply—
(a) where the enforcement action is required urgently to avoid a significant risk of serious harm to human health or the environment (including the health of animals or plants) or the financial interests of consumers;
(b) where the application of section 28(1) to (4) would be wholly disproportionate.
(1) Where a relevant function consists of or includes a function of inspection, the primary authority may in accordance with this section make an inspection plan.
(2) An “inspection plan” is a plan containing recommendations as to how a local authority with the function of inspection should exercise it in relation to the regulated person.
(3) An inspection plan may in particular set out—
(a) the frequency at which, or circumstances in which, inspections should be carried out;
(b) what an inspection should consist of.
(3A) An inspection plan may require a local authority other than the primary authority, on exercising the function of inspection in relation to the regulated person, to provide the primary authority with a report on its exercise of the function.
(4) Before making an inspection plan the primary authority must consult the regulated person.
(5) When making an inspection plan the primary authority must take into account any relevant recommendations relating to inspections which are published by any person (other than a local authority) pursuant to a regulatory function.
(6) Where a primary authority has made an inspection plan, it must, if the Secretary of State consents to the plan, bring the plan to the notice of the other local authorities with the function of inspection.
(7) Where the primary authority exercises the function of inspection in relation to the regulated person , it must have regard to a plan to which consent has been given under subsection (6).
(7A) A local authority other than the primary authority may not exercise the function of inspection in relation to the regulated person otherwise than in accordance with a plan that has been brought to its notice under subsection (6), unless—
(a) it has notified the primary authority in writing of the way in which it proposes to exercise the function in relation to the regulated person, and
(b) the primary authority has notified the local authority in writing that it consents to the authority's exercising the function in that way.
(7B) Subsection (7C) applies if a primary authority that has been notified by a local authority as described in subsection (7A)(a) fails to notify that authority in writing, within the notification period, whether it consents to the authority's exercising the function of inspection as described in the notification.
(7C) The primary authority is to be treated for the purposes of this section, following the expiry of the notification period, as having given the notification of consent described in subsection (7A)(b).
(7D) The “notification period”, in subsections (7B) and (7C), is the period of five working days beginning with the first working day after the day on which the notification referred to in subsection (7A)(a) is received by the primary authority.
(7E) Where an inspection plan includes a requirement of the type described in subsection (3A), a local authority exercising the function of inspection in relation to the regulated person must provide a report to the primary authority in accordance with the requirement.
(8) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(9) A notification under subsection (7A)(a) must include reasons for exercising the function otherwise than in accordance with the plan.
(9A) A primary authority may, with the consent of the Secretary of State, revoke a plan made by it under this section.
(9B) If a primary authority revokes a plan under subsection (9A), it must notify the other local authorities with the function of inspection that the plan is no longer in effect.
(10) A primary authority may from time to time revise a plan made by it under this section (and subsections (3) to (9B) apply in relation to any revision of the plan).
(11) In subsection (7D), “working day” means a day other than—
(a) a Saturday or Sunday,
(b) Christmas Day or Good Friday, or
(c) a day which is a bank holiday under the Banking and Financial Dealings Act 1971 in—
(i) the part of the United Kingdom where the primary authority is, or
(ii) (if different) the part of the United Kingdom where the authority is that has given the notification referred to in subsection (7A)(a).
The primary authority may charge the regulated person such fees as it considers to represent the costs reasonably incurred by it in the exercise of its functions under this Part in relation to the regulated person.
(1) The Secretary of State may give guidance to any one or more local authorities about the operation of this Part.
(2) The guidance may include, in particular, guidance to local authorities about—
(a) arrangements under section 27(2);
(b) notification of inspection plans under section 30(6);
(c) the charging of fees under section 31.
(3) A local authority must have regard to any guidance given to it under this section.
(4) Before giving guidance under this section the Secretary of State must consult such persons as the Secretary of State considers appropriate.
(5) The Secretary of State may not give guidance under subsection (2)(c)—
(a) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(b) without having consulted the Welsh Ministers.
(6) The Secretary of State must publish (in such manner as the Secretary of State considers appropriate) any guidance given ... under this section.
(7) The Secretary of State may at any time vary or revoke any guidance given under this section by further guidance under this section.
(1) An order under this Part is to be made by statutory instrument.
(2) An order under this Part is subject to annulment in pursuance of a resolution of either House of Parliament.
In this Part—
“enforcement action” has the meaning given in section 28(5);
...
“local authority” has the meaning given in section 23;
“the regulated person” has the meaning given in section 22(2);
“relevant function” has the meaning given in section 24.
(1) A person is a “regulated person” for the purposes of this Part if the Secretary of State is satisfied that—
(a) the person carries on, or proposes to carry on, an activity, and
(b) a qualifying regulator has a relevant function which is, or would be, exercisable in relation to the person in respect of the activity.
(2) A group of persons is a “regulated group” for the purposes of this Part if the Secretary of State is satisfied that—
(a) a member of the group carries on, or proposes to carry on, an activity, and
(b) a qualifying regulator has a relevant function which is, or would be, exercisable in relation to the member in respect of the activity.
(1) In this Part, “qualifying regulator” means—
(a) a local authority, or
(b) a specified regulator.
(2) In this Part, “local authority” means a local authority in England, Wales, Scotland or Northern Ireland.
(3) In this Part—
(a) references to a local authority in England or Wales have the same meaning as in Part 1;
(b) references to a local authority in Scotland are to a council constituted under section 2 of the Local Government etc (Scotland) Act 1994;
(c) references to a local authority in Northern Ireland are to a district council constituted under section 1 of the Local Government Act (Northern Ireland) 1972.
(4) In this Part, “specified regulator” means a person (other than a local authority) who—
(a) has regulatory functions, and
(b) is specified for the purposes of this Part by regulations made by the Secretary of State.
(5) Regulations under subsection (4)(b) require the consent of the Welsh Ministers to specify a regulator whose functions relate only to devolved Welsh matters.
(1) In this Part, “relevant function”—
(a) in relation to a local authority in England or Wales, has the same meaning as in Part 1;
(b) in relation to a local authority in Scotland, means a regulatory function exercised by that authority and specified for the purposes of this Part by regulations made by the Secretary of State;
(c) in relation to a local authority in Northern Ireland, means a regulatory function exercised by that authority and specified for the purposes of this Part by regulations made by the Secretary of State;
(d) in relation to a specified regulator, means a regulatory function exercised by that regulator and specified for the purposes of this Part by regulations made by the Secretary of State.
(2) Regulations under subsection (1)(b) or (c) may only specify a regulatory function—
(a) which is a relevant function for the purposes of Part 1 in relation to local authorities in England or Wales or both, or
(b) which, for the purposes of local authorities in Scotland or Northern Ireland, is equivalent to such a function.
(3) Regulations under subsection (1)(d) may only specify a regulatory function—
(a) which is a relevant function for the purposes of Part 1 in relation to local authorities in England or Wales or both, or
(b) which, for the purposes of the specified regulator, is equivalent to such a function.
(4) Regulations under subsection (1)(b) or (d) may not specify a regulatory function so far as exercisable in Scotland, if or to the extent that the function relates to matters which are not reserved matters.
(5) Regulations under subsection (1)(c) or (d) may not specify a regulatory function so far as exercisable in Northern Ireland, if or to the extent that the function relates to matters which are transferred matters.
(6) Regulations under subsection (1)(d) require the consent of the Welsh Ministers to specify a regulatory function, so far as exercisable in relation to Wales, which relates to a devolved Welsh matter.
(7) Regulations under subsection (1)(d) may make different provision for—
(a) different purposes;
(b) different areas.
23A Primary authorities for regulated persons and regulated groups
(1) For the purposes of this Part, the Secretary of State—
(a) may nominate, in relation to a regulated person, a qualifying regulator to be the “primary authority” for the exercise of the partnership functions in relation to that person (a “direct primary authority”);
(b) may nominate, in relation to a regulated group, a qualifying regulator to be the “primary authority” for the exercise of the partnership functions in relation to the members of the group (a “co-ordinated primary authority”).
(2) The “partnership functions” are the functions specified by the nomination under subsection (1) as covered by it.
(3) A function may be so specified only if condition A or B is met.
(4) Condition A is that the function—
(a) is a relevant function of the primary authority, and
(b) is, or (in the case of an activity proposed to be carried on) would be, exercisable by the primary authority in relation to the regulated person or a member of the regulated group.
(5) Condition B is that the function—
(a) is a relevant function of a qualifying regulator other than the primary authority,
(b) is, or (in the case of an activity proposed to be carried on) would be, exercisable by that other regulator in relation to the regulated person or a member of the regulated group, and
(c) is equivalent to a relevant function of the primary authority.
(6) The Secretary of State may from time to time revise the specification of partnership functions included in a nomination under subsection (1) if—
(a) the requirements of subsections (3) to (5) are met in relation to the revised specification,
(b) in the case of a nomination under subsection (1)(a), the primary authority and the regulated person have agreed in writing to the revision, and
(c) in the case of a nomination under subsection (1)(b), the primary authority and the co-ordinator of the regulated group have agreed in writing to the revision.
(7) This Part applies to a revised specification of partnership functions as it applies to a specification of partnership functions under subsection (1); and references in this Part to the partnership functions include partnership functions in the revised specification.