In regulation 9(2) of the principal Regulations—
(a) in sub-paragraph (a), for the words “to (v)” there are substituted the words “, (iii) and (v)”; and
(b) after sub-paragraph (b) there is inserted—
(c) contributions paid under section 132(1) to the extent that they are paid towards expenditure incurred by a local authority under Part VIII of the Act other than expenditure on —
(i) a grant in respect of which the authority are under a duty under Part VIII of the Act to approve an application;
(ii) a grant in so far as it relates to an application which, by virtue of section 112(4)(b) or 113(3)(b), is treated as an application under section 115; or
(iii) a grant in so far as it relates to an application in respect of a dwelling or a building which isapproved by the authority under section 114(4) at the same time as they approve an application under section 114(3) in respect of the same dwelling or building.