13.This section is intended to enable the modernisation of the procedures used to authorise payments out of the Consolidated Fund and National Loans Fund.
14.Subsections (1) and (2) will enable the Treasury, subject to the approval of the Comptroller and Auditor General (C&AG), to produce, authenticate and transmit the instruments necessary to enable payments to be made from the Consolidated Fund and National Loans Fund in whatever form the Treasury decides to adopt. All such requests for payment must be accompanied by evidence of the approval of two authorised Treasury officials. The intention is to enable modern (in particular computerised) systems to replace the paper based procedures required by the existing legislation.
15.Subsection (3) will enable the Treasury to produce, authenticate and transmit the instruments necessary to enable transfers to be made under section 20 of the Exchequer and Audit Departments Act 1866 (Government stock and annuities) in whatever form the Treasury decides to adopt.
16.Subsection (4) repeals section 56 of the Finance Act 1975 which sets out the authorised signatories for requests for payments out of the funds. This provision is predicated on a paper based system of written authorisations which will not be required in a computerised system.
Commentary on Sections Section 3: Government funds and accounts - payments out