Asset transfer

Local authorities and other public sector bodies can play a key role in the development of community owned property or land. Assets developed for community benefit by voluntary and community organisations are often transferred to communities by local authorities where it can be proven that the asset will be used to develop services or facilities that will meet local needs.

Asset transfer is seen as one way in which local authorities and other public sector bodies can support the development of the Third Sector and contribute to lasting community regeneration.

Since 2003 local authorities in Wales have had the power to dispose of property or land at below market value. The Local Government Act 1972: General Disposal Consent [Wales] 2003 removed the requirement for specific consent of the National Assembly for Wales for the transfer for assets where the difference between the market value of the asset and the transfer price is £2m or less.

It is also concerned with the disposal of land in Wales by local authorities for less than best consideration and allows for the transfer of land or buildings to the community for less than their market value if organisations can demonstrate substantial benefit to the ‘economic, social or environmental’ well-being of the area.

Useful resources

  • The Development Trusts Association has published a useful overview of asset transfer, Asset Transfer: A can-do guide, to assist organisations considering taking a public building for community use. To download a copy in PDF format click here.
  • A number of publications have been produced on behalf of the Finance Hub discussing asset transfer:
    1. Asset transfer - Background information to the issues surrounding the transfer of land and property assets from local government to voluntary and community organisations. To download a copy in PDF format click here.
    2. Publicly funded assets – An introduction to ‘clawback’ which can affect publicly funded assets. To download a copy in PDF format click here.
  • National Assembly for Wales guidance to local authorities and other public sector bodies on the disposal of land for less than best consideration can be found here.