233.—(1) Subject to subsection (2), where in the opinion of the Minister a local authority has failed or substantially failed to comply with a statutory duty under any enactment, the Minister may reduce or withhold payment of any grant or any other money due or otherwise payable to the local authority.

(2) The Minister shall notify the local authority concerned in writing of his or her intention to exercise the functions conferred by subsection (1) and shall state the reasons for it and that local authority may within the period of 3 weeks of such notification make a submission in writing to the Minister as regards the matter and the Minister shall have regard to any such submission so received.