A record in any form created or received by a (a council or related entity) in the course of its business. Local authorities carry additional obligations for 'protected records'.
A local authority record is created or received by a council or related entity in its business. Local authorities carry extra obligations around 'protected records'; for staff in central-government public offices, the term mainly matters when collaborating with councils or shared services.
IAR turns terms like this into working practice: assets classified against your disposal authority, stewarded by position, and ready to evidence.