In this paper we investigate how the inclusion of time delay alters the dynamical properties of the Jacob-Monod model, describing the control of the beta-galactosidase synthesis by the lac repressor protein in E. coli. The consequences of a time delay on the dynamics of this system are analysed using Hopf's theorem and Lyapunov-Andronov's theory applied to the original mathematical model and to an approximated version. Our analytical calculations predict that time delay acts as a key bifurcation parameter. This is confirmed by numerical simulations. A critical value of time delay, which depends on the values of the model parameters, is analytically established. Around this critical value, the properties of the system change drastically, allowing under certain conditions the emergence of stable limit cycles, that is self-sustained oscillations. In addition, the features of the end product repression play an essential role in the characterisation of these limit cycles: if cooperativity is considered in the end product repression, time delay higher than the mentioned critical value induce differentiated responses during the oscillations, provoking cycles of all-or-nothing response in the concentration of the species.