Local Government Finance Bill

Session 2012 - 13
Internet Publications
Other Bills before Parliament

Local Government Finance Bill

Local Government Finance Bill
Schedule 1 — Local retention of non-domestic rates
36

      (2)
Sub-paragraph (3) applies where the regulations include
provision for payments to be made in accordance with sub-
paragraph (1) to two or more relevant authorities.
      (3)
The regulations may include provision for imposing duties or
conferring powers on valuation officers (whether as regards
5
determinations, certificates or otherwise) for the purpose of
arriving at the amounts of those payments.
      (4)
The regulations may make provision about the administration of
payments to relevant authorities under the regulations.
      (5)
The regulations may, in particular, make provision in relation to
10
payments to relevant authorities of the same kind as the provision
that may be made under sub-paragraph (2) of paragraph 9 in
relation to payments to major precepting authorities to which that
sub-paragraph applies.
Part 11
15
Supplementary
Calculations and supply of information by relevant authorities
40    (1)
The Secretary of State may, for the purposes of any provision of or
made under this Schedule, direct a relevant authority to make
calculations, or to supply information to the Secretary of State, in
20
accordance with the direction.
      (2)
The direction may require the calculations to be made, or the
information to be supplied, before such time as is specified in the
direction.
      (3)
The direction may require the calculations or information to be
25
audited in accordance with the direction.
      (4)
If a relevant authority does not comply with a direction under this
paragraph, the Secretary of State may make the calculations that
the Secretary of State thinks would have been made, or make
assumptions as to the information that would have been supplied,
30
by the authority if it had complied with the direction.
      (5)
If the Secretary of State proceeds under sub-paragraph (4), the
Secretary of State must notify the authority—
(a)
of that fact, and
(b)
of the calculations or assumptions that the Secretary of
35
State has made.
      (6)
If any calculation or information certified by an audit in
accordance with a direction under this paragraph does not match
that made or supplied by the authority in question, the Secretary
of State may use the certified calculation or information.
40
      (7)
If the Secretary of State proceeds under sub-paragraph (6), the
Secretary of State must notify the authority of that fact.
      (8)
For the purposes of any provision made by or under Part 5 or 7 of
this Schedule that applies to pools of authorities, this paragraph

Local Government Finance Bill
Schedule 2 — Amendment of provisions about revenue support grant
37

has effect as if references to a relevant authority included a
reference to such a pool.
      (9)
Where sub-paragraph (5) or (7) applies to a pool of authorities by
virtue of sub-paragraph (8), the Secretary of State must notify each
relevant authority in the pool of the matters in question.
5
Interpretation of Schedule
41
In this Schedule—
“actual rating income”, in relation to a billing authority, has
the meaning given by paragraph 30(4)(b);
“basis of calculation” has the meaning given by paragraph
10
10(1);
“the central share” has the meaning given by paragraph 4;
“deemed rating income”, in relation to a billing authority, has
the meaning given by paragraph 30(4)(a);
“local government finance report” has the meaning given by
15
paragraph 5(1);
“the local share” has the meaning given by paragraph 4;
“levy account” has the meaning given by paragraph 17(1);
“levy payment” has the meaning given by paragraph 20(1);
“main non-domestic rating account” has the meaning given
20
by paragraph 1(1);
a “pool of authorities” means two or more relevant
authorities designated as a pool of authorities under
paragraph 32;
“relevant authority” means—
25
(a)
a billing authority in England, or
(b)
a major precepting authority in England;
“safety net payment” has the meaning given by paragraph
23(1);
“year” means a chargeable financial year.”
30
Schedule 2
Section 2

Amendment of provisions about revenue support grant
1
Chapter 2 of Part 5 of the LGFA 1988 (revenue support grant: England) is
amended as follows.
2     (1)
Section 78 (revenue support grant) is amended as follows.
35
      (2)
For subsection (1) (duty to pay grant) substitute—
“(1)
The Secretary of State may pay a grant (to be called revenue support
grant) in accordance with this Chapter for a chargeable financial
year—
(a)
to receiving authorities,
40
(b)
to specified bodies, or
(c)
to both.”

Local Government Finance Bill
Schedule 2 — Amendment of provisions about revenue support grant
38

      (3)
In subsection (2) (duty to make determination about revenue support grant
for each chargeable financial year), after “year” insert “for which revenue
support grant is to be paid”.
      (4)
In subsection (3) (content of determination)—
(a)
after paragraph (a) insert—
5
“(aa)
whether the Secretary of State proposes to pay grant
to receiving authorities,”,
(b)
at the beginning of paragraph (b) insert “if so,”,
(c)
after paragraph (b) (and before the “and” at the end of that
paragraph) insert—
10
“(ba)
whether the Secretary of State proposes to pay grant
to specified bodies,”, and
(d)
at the beginning of paragraph (c) insert “if so,”.
3     (1)
Section 78A (local government finance reports) is amended as follows.
      (2)
For the heading substitute “Requirement to specify determination in local
15
government finance report”.
      (3)
In subsection (1) (duty to specify determination under section 78 in local
government finance report), for the words from “a report” to “report)”
substitute “the local government finance report for the year (as to which, see
paragraph 5 of Schedule 7B)”.
20
      (4)
In subsection (2) (requirement for report to specify basis of distribution of
grant to receiving authorities), for “A local government finance report”
substitute “If the determination provides for grant to be paid to receiving
authorities, the report”.
      (5)
In subsection (3), for “the report” substitute “a report to which subsection (2)
25
applies”.
      (6)
Omit subsections (4) and (5) (duty to lay report before House of Commons
and to send copies to receiving authorities).
4     (1)
Section 79 (effect of report’s approval) is amended as follows.
      (2)
In subsection (3) (duty to pay amounts specified in determination to
30
receiving authorities and specified bodies)—
(a)
for “The Secretary of State” substitute “If the determination provides
for grant to be paid to receiving authorities, the Secretary of State”,
and
(b)
after “section 78(3)(b) above, and” insert “, if the determination
35
provides for grant to be paid to specified bodies, the Secretary of
State”.
      (3)
In subsection (4) (amount to be paid to receiving authorities), for “The
amount” substitute “Any amount”.
      (4)
In subsection (5) (amount to be paid to particular specified body), for “The
40
amount” substitute “Any amount”.
5     (1)
Section 82 (calculation of sums payable to receiving authorities by way of
revenue support grant) is amended as follows.

Local Government Finance Bill
Schedule 3 — Local retention of non-domestic rates: further amendments
Part 1 — Amendments to Schedule 8 to the LGFA 1988 etc
39

      (2)
Before subsection (1) insert—
“(A1)
This section applies if—
(a)
in accordance with sections 78 and 78A above a
determination as regards revenue support grant has been
made for a financial year and specified in a report which has
5
been laid before the House of Commons,
(b)
the determination provides for grant to be paid to receiving
authorities, and
(c)
the report is approved by resolution of the House of
Commons.”
10
      (3)
In subsection (1) (requirement to calculate sums payable), for the words
from “a local government finance report” to “House of Commons” substitute
“the report has been approved”.
6
In section 84A(1) (power of Secretary of State to make amending reports
after local government finance report made), after “local government
15
finance report” insert “that contains a determination under section 78
above”.
Schedule 3
Section 5

Local retention of non-domestic rates: further amendments
Part 1
20
Amendments to Schedule 8 to the LGFA 1988 etc
LGFA 1988
1
In section 60 of the LGFA 1988 (non-domestic rating: pooling), for “Secretary
of State” substitute “Welsh Ministers”.
2
Schedule 8 to the LGFA 1988 (non-domestic rating: pooling) is amended as
25
follows.
3     (1)
Paragraph 1 (non-domestic rating accounts) is amended as follows.
      (2)
In sub-paragraph (1), for “Secretary of State” substitute “Welsh Ministers”.
      (3)
In sub-paragraph (2)—
(a)
for “Secretary of State” substitute “Welsh Ministers”, and
30
(b)
in paragraph (b), for “Comptroller and Auditor General” substitute
“Auditor General for Wales”.
      (4)
Omit sub-paragraph (3).
      (5)
In sub-paragraph (4), for “Assembly” substitute “National Assembly for
Wales”.
35
4     (1)
Paragraph 2 (credits and debits to non-domestic rating accounts) is
amended as follows.
      (2)
In sub-paragraph (1)—

Local Government Finance Bill
Schedule 3 — Local retention of non-domestic rates: further amendments
Part 1 — Amendments to Schedule 8 to the LGFA 1988 etc
40

(a)
in paragraph (a), for “Secretary of State” substitute “Welsh
Ministers”, and
(b)
in each of paragraphs (b) and (c), for “him” substitute “them”.
      (3)
In sub-paragraph (2)—
(a)
in paragraph (a), for “Secretary of State” substitute “Welsh
5
Ministers”, and
(b)
in paragraph (b), for “him” substitute “them”.
5
In paragraph 3(1) (end of year calculations), for “Secretary of State”
substitute “Welsh Ministers”.
6
Before paragraph 4 (and after the heading to Part 2 of Schedule 8 but before
10
the heading to that paragraph) insert—
“Interpretation
3A
Any reference in this Part of this Schedule to a billing authority is
a reference to a billing authority in Wales.”
7     (1)
Paragraph 4 (rules as to calculation of billing authority’s non-domestic
15
rating contribution) is amended as follows.
      (2)
In sub-paragraph (1), for “Secretary of State” substitute “Welsh Ministers”.
      (3)
Omit sub-paragraphs (3), (4B) and (4D).
      (4)
In sub-paragraph (5)—
(a)
for “Secretary of State” substitute “Welsh Ministers”,
20
(b)
for “he thinks” in both places substitute “they think”, and
(c)
for “sub-paragraphs (2) and (3)” substitute “sub-paragraph (2)”.
      (5)
Omit sub-paragraph (5A).
8     (1)
Paragraph 5 (calculation and payment of billing authority’s non-domestic
rating contribution) is amended as follows.
25
      (2)
In sub-paragraph (2), for “Secretary of State” in both places substitute
“Welsh Ministers”.
      (3)
In sub-paragraph (3)—
(a)
for “Secretary of State believes” substitute “Welsh Ministers believe”,
(b)
for “he may” substitute “they may”,
30
(c)
for “his” substitute “their”,
(d)
for “he makes” substitute “they make”,
(e)
for “he shall” substitute “they shall”, and
(f)
for “he has” substitute “they have”.
      (4)
In sub-paragraph (4), for “Secretary of State” in both places substitute
35
“Welsh Ministers”.
      (5)
In sub-paragraph (5), for “Secretary of State” substitute “Welsh Ministers”.
      (6)
In sub-paragraph (6)—
(a)
in paragraph (b), for “Secretary of State” substitute “Welsh
Ministers”,
40

Local Government Finance Bill
Schedule 3 — Local retention of non-domestic rates: further amendments
Part 1 — Amendments to Schedule 8 to the LGFA 1988 etc
41

(b)
in paragraph (ba) omit the words from “if it is” in the first place they
appear to “authority in Wales”, and
(c)
in paragraph (c), for sub-paragraphs (i) and (ii) substitute “under
arrangements made by the Auditor General for Wales”.
      (7)
In sub-paragraph (6A)—
5
(a)
omit “Commission or the”,
(b)
omit “, as the case may be,”, and
(c)
for “Secretary of State” substitute “Welsh Ministers”.
      (8)
In sub-paragraph (7)—
(a)
for “Secretary of State directs” substitute “Welsh Ministers direct”,
10
and
(b)
for “he” in both places substitute “they”.
      (9)
In sub-paragraph (8)—
(a)
for “Secretary of State receives” substitute “Welsh Ministers receive”,
and
15
(b)
for “he” substitute “they”.
     (10)
In sub-paragraph (9)—
(a)
for “Secretary of State” substitute “Welsh Ministers”, and
(b)
for “he” substitute “they”.
     (11)
In sub-paragraph (10)—
20
(a)
for “Secretary of State” substitute “Welsh Ministers”,
(b)
in paragraph (a)—
(i)
for “he believes” substitute “they believe”, and
(ii)
for “his” substitute “their”, and
(c)
in paragraph (b)—
25
(i)
for “he is” substitute “they are”,
(ii)
for “he decides” substitute “they decide”, and
(iii)
omit “with the Treasury’s approval”.
     (12)
In sub-paragraph (11)—
(a)
in paragraph (a)—
30
(i)
for “Secretary of State has” substitute “Welsh Ministers
have”, and
(ii)
for “him” substitute “them”, and
(b)
in paragraph (b), for “Secretary of State” substitute “Welsh
Ministers”.
35
     (13)
In sub-paragraph (12), for “Secretary of State” substitute “Welsh Ministers”.
     (14)
In sub-paragraph (13), for “Secretary of State makes” substitute “Welsh
Ministers make”.
     (15)
In sub-paragraph (14)—
(a)
in paragraph (a)—
40
(i)
for “Secretary of State” substitute “Welsh Ministers”, and
(ii)
for “he” substitute “they”, and
(b)
in paragraph (b)—
(i)
for “Secretary of State” substitute “Welsh Ministers”,

Local Government Finance Bill
Schedule 3 — Local retention of non-domestic rates: further amendments
Part 1 — Amendments to Schedule 8 to the LGFA 1988 etc
42

(ii)
for “he decides” substitute “they decide”, and
(iii)
omit “with the Treasury’s approval”.
     (16)
In sub-paragraph (15)—
(a)
for “Secretary of State makes” substitute “Welsh Ministers make”,
and
5
(b)
in paragraph (a), for “Secretary of State” substitute “Welsh
Ministers”.
9     (1)
Paragraph 6 (further provisions as to calculation and payment of billing
authority’s non-domestic rating contribution) is amended as follows.
      (2)
In sub-paragraph (2), for “Secretary of State” substitute “Welsh Ministers”.
10
      (3)
Omit sub-paragraph (4).
      (4)
In sub-paragraph (5), for “Secretary of State” substitute “Welsh Ministers”.
10    (1)
Paragraph 8 (interpretation of Part 3 of Schedule 8) is amended as follows.
      (2)
In sub-paragraph (1), for the words from “any billing authority” to the end
substitute “—
15
(a)
any billing authority in Wales, or
(b)
any major precepting authority in Wales.”
      (3)
In sub-paragraph (2) omit “78A or”.
      (4)
Omit sub-paragraph (4).
11    (1)
Paragraph 9 (calculation of distributable amount) is amended as follows.
20
      (2)
In sub-paragraph (1), for “Secretary of State” substitute “Welsh Ministers”.
      (3)
In sub-paragraph (2)—
(a)
for “Secretary of State” substitute “Welsh Ministers”, and
(b)
for “he sees” substitute “they see”.
      (4)
In sub-paragraphs (3) and (4), for “Secretary of State” substitute “Welsh
25
Ministers”.
12
In paragraph 9A (application of Part 3 to years where two local government
finance reports prepared for Wales), in sub-paragraphs (1)(a) and (3)(a) omit
“in relation to Wales”.
13    (1)
Paragraph 10 (requirement for local government finance report to specify
30
basis of distribution) is amended as follows.
      (2)
In sub-paragraph (1), for “Secretary of State proposes” substitute “Welsh
Ministers propose”.
      (3)
In sub-paragraph (2)—
(a)
for “Secretary of State” substitute “Welsh Ministers”, and
35
(b)
for “him” substitute “them”.
14    (1)
Paragraph 11 (calculation of sums payable to receiving authorities out of
distributable amount) is amended as follows.
      (2)
In sub-paragraph (1)(b), for “House of Commons” substitute “Assembly”.
      (3)
In sub-paragraph (2), for “House of Commons” substitute “Assembly”.
40