Local Government Finance Bill

MARSHALLED
LIST OF AMENDMENTS
TO BE MOVED
IN GRAND COMMITTEE

The amendments have been marshalled in accordance with the Instruction of 20th June 2012, as follows—

Clause 1
Schedule 1
Clause 2
Schedule 2
Clauses 3 to 5
Schedule 3
Clauses 6 to 9
Schedule 4
Clauses 10 to 19

[Amendments marked * are new or have been altered]

Clause 1

LORD MCKENZIE OF LUTON

LORD BEECHAM

1

Page 1, line 19, at end insert—

“( ) paragraph 6 (regulations about non-domestic rating income);”

2

Page 2, line 4, at end insert—

“( ) paragraph 26 (regulations about payments on account);”

3

Page 2, line 6, at end insert—

“( ) paragraph 30 (regulations about deemed and actual rating income)”

4

Page 2, line 6, at end insert—

“( ) paragraphs 37 and 38 (regulations about designation of areas and classes of hereditament)”

5

Page 2, line 14, leave out from “1” to end of line 15 and insert “shall have effect in relation to such financial year as is approved by a resolution of both Houses of Parliament (“the initial financial year”) and subsequent financial years, and the initial financial year shall be no earlier than the financial year beginning 1 April 2014”

LORD SMITH OF LEIGH

6

Page 2, line 16, leave out “may” and insert “shall”

7

Page 2, line 17, at end insert “if the statutory instruments to enable local authorities to implement the legislation are not in place by 30 November 2012”

After Clause 1

LORD BEECHAM

LORD MCKENZIE OF LUTON

8*

Insert the following new Clause—

“Representations from local authorities regarding a re-set of the system

(1) The Secretary of State shall establish a mechanism to allow local authorities to make representations on whether they believe a re-set of the system is required.

(2) The Secretary of State shall, prior to the publication of the Local Government Financial Report in any year, give consideration to any representations he has received, and must lay before the House of Commons a report detailing—

(a) any representations he has received from local authorities on whether it would be appropriate to re-set the system; and

(b) his or her decision on such representations and the reasons for that decision.”

Schedule 1

LORD SMITH OF LEIGH

9

Page 20, line 31, leave out “may not exceed” and insert “shall equal”

LORD TOPE

LORD PALMER OF CHILDS HILL

10

Page 20, line 35, at end insert—

“(4A) Such an amount should only be paid in place of other grants to local government if the Secretary of State is satisfied that the overall needs of local government will be met.”

LORD MCKENZIE OF LUTON

LORD BEECHAM

11*

Page 20, line 37, leave out “includes” and insert “in”

LORD JENKIN OF RODING

BARONESS EATON

LORD SHIPLEY

LORD TOPE

12

Page 20, line 44, at end insert—

“( ) The amount debited under paragraph (3) must not be greater than any amount debited under paragraph (3) for the previous financial year.”

13

Page 20, line 44, at end insert—

“( ) Such an amount should only be paid in place of other grants to local government if the Secretary of State is satisfied that the overall needs of local government will be met.”

14

Page 20, line 44, at end insert—

“( ) The amount to be debited under sub-paragraph (3) shall not be paid as full or partial replacement of any other grant paid to local government.”

LORD BEST

15*

Page 21, line 18, at end insert—

“(2) In Schedule 8 to the LGFA 1988, after paragraph 5(7) insert—

“( ) Appropriate rateable values will exclude a percentage of any increase in total rateable value of all appropriate hereditaments within the billing authority area as laid down by the Secretary of State in regulations.

( ) In setting the percentage, the Secretary of State must take into account the indexed rate of increases in rateable value of all hereditaments of all billing authority areas.””

LORD BEST

LORD TOPE

LORD PALMER OF CHILDS HILL

16*

Page 21, line 22, leave out “each year” and insert “each financial year until the end of the financial year beginning 1 April 2014”

LORD SMITH OF LEIGH

17

Page 21, line 22, after “year” insert “and for two subsequent years”

THE EARL OF LYTTON

18

Page 21, line 30, leave out “major”

LORD MCKENZIE OF LUTON

LORD BEECHAM

19*

Page 21, line 31, at end insert—

“(c) the percentage referred to in paragraphs (a) and (b) shall be determined following full consultation with local government”

LORD SMITH OF LEIGH

20

Page 21, line 31, at end insert—

“and the percentages referred to in paragraphs (a) and (b) must be determined after full consultation with local government”

LORD JENKIN OF RODING

LORD TOPE

LORD SHIPLEY

21

Page 21, line 31, at end insert—

“A billing authority’s central share for a year may not exceed its central share for the previous year.”

22

Page 21, line 31, at end insert—

“The following shall apply in relation to the central share—

(a) the percentage that is to be the billing authority’s central share for the year ending in 2016 shall be at least five lower than it was in the year ending in 2014;

(b) the percentage that is to be the billing authority’s central share for the year ending in 2018 shall be at least five lower than it was in the year ending in 2016;

(c) the percentage that is to be the billing authority’s central share for the year ending in 2020 shall be at least five lower than it was in the year ending in 2018.

The following shall apply in relation to the local share—

(a) the percentage that is to be the billing authority’s local share for the year ending in 2016 shall be at least five higher than it was in the year ending in 2014;

(b) the percentage that is to be the billing authority’s local share for the year ending in 2018 shall be at least five higher than it was in the year ending in 2016;

(c) the percentage that is to be the billing authority’s local share for the year ending in 2020 shall be at least five higher than it was in the year ending in 2018.”

LORD SMITH OF LEIGH

23

Page 21, line 33, at end insert “, including the full details of the consultation undertaken”

LORD MCKENZIE OF LUTON

LORD BEECHAM

24*

Page 21, line 34, at end insert—

“(1A) The local government finance report must specify—

(a) The total amount and number of payments from the central share for the year in question to each authority for the use of local government, and the basis on which they have been made;

(b) the amounts payable in accordance with each of paragraphs (a) to (d) of Schedule 1 paragraph 2(5) and amounts otherwise payable for the purposes of local government in England; and

(c) indicative amounts for the subsequent two years.”

LORD SMITH OF LEIGH

25

Page 21, line 40, at end insert “no later than the end of November of each year”

LORD MCKENZIE OF LUTON

LORD BEECHAM

26*

Page 22, line 14, leave out “, if the authority acted diligently,”

27*

Page 22, line 31, leave out “the course” and insert “respect”

THE EARL OF LYTTON

28

Page 22, line 41, leave out “major”

29

Page 23, line 8, leave out “major”

LORD MCKENZIE OF LUTON

LORD BEECHAM

30*

Page 23, line 21, leave out from “45” to end of line 22

31*

Page 24, line 13, leave out from “authority” to end of line 14

32*

Page 24, line 31, leave out “notify” and insert “consult with”

LORD SMITH OF LEIGH

33

Page 24, line 31, after “notify” insert “and consult with”

34

Page 24, line 32, leave out “general nature” and insert “detail”

LORD JENKIN OF RODING

BARONESS EATON

LORD SHIPLEY

LORD TOPE

35

Page 24, line 33, at end insert—

“( ) A review of the basis on which the Secretary of State calculates payments to authorities must be undertaken in conjunction with any revaluation of rateable values on non-domestic property after 2015.”

LORD JENKIN OF RODING

LORD TOPE

LORD SHIPLEY

36

Page 24, line 33, at end insert—

“(3) In conjunction with billing authorities who are compiling or preparing to compile their local non-domestic rating lists under section 41 (local rating lists), the Secretary of State must carry out a review of the basis of calculation, having regard to baseline funding levels for each billing authority and taking account of changes in their relative needs and resources.

(4) The Secretary of State must have regard to any recommendations arising from the review when specifying the basis of calculation for the year in which the non-domestic rating list is compiled and any subsequent year in respect of which recommendations are made in the review.”

LORD MCKENZIE OF LUTON

LORD BEECHAM

37*

Page 24, line 33, at end insert—

“(3) Such basis of calculation must take account each year of an assessment of the level of need in each local authority, and in particular their ability to comply with their equality duty and obligations under the Child Poverty Act and homelessness provisions.”

38*

Page 24, line 33, at end insert—

“( ) The local government finance report will, in particular, set out—

(a) the basis on which data sets and technical changes to the formula grant have been made in calculating the baseline position, including changes to relative needs and the central allocation;

(b) the basis on which allowable deductions from business rates income have been included; and

(c) the period over which an authority’s business rates base has been determined.”

LORD SMITH OF LEIGH

39

Page 26, line 37, leave out “instalments of such amounts” and insert “two instalments”

LORD MCKENZIE OF LUTON

LORD BEECHAM

40*

Page 27, line 16, leave out “notify” and insert “consult”

41*

Page 31, leave out lines 37 and 38

42*

Page 32, line 23, at end insert—

“(4A) The Secretary of State must—

(a) allow the authority 28 days to make representations either regarding the basis of the calculation of the levy payment or its accuracy; and

(b) give due consideration to such representations and notify the authority of the extent, if at all, they have been reflected in a final determination, and the reasons therefore.”

LORD SMITH OF LEIGH

43

Page 32, line 39, at end insert “, and

(c) whether the payment would be triggered by a fall in business rates of 5 per cent”

LORD MCKENZIE OF LUTON

LORD BEECHAM

44*

Page 33, line 18, at end insert—

“( ) No later than 3 years after the commencement of the provisions relating to safety nets, the Secretary of State must report to Parliament on the operation of the provisions, and the extent to which the safety net threshold percentage has provided protection for local authorities experiencing a decline in business rate income.”

45*

Page 33, line 18, at end insert—

“( ) The regulations must not allow the calculation of the safety net threshold to be set for any relevant authority lower than a level which would enable it to discharge its functions in an effective manner, in particular having regard to the needs of the community.”

LORD JENKIN OF RODING

LORD MCKENZIE OF LUTON

LORD TOPE

LORD PALMER OF CHILDS HILL

46

Page 33, line 34, at end insert—

“(4) The calculation must ensure that the relevant authority is fully compensated for any losses due to rating appeals caused by rating errors made by the Valuation Office Agency.”

47

Page 36, leave out lines 25 to 31 and insert—

“(2) Before making such a determination, the Secretary of State must consult such relevant authorities and bodies representing relevant authorities as the Secretary of State thinks appropriate about whether the Secretary of State should make such a determination.

(3) If, following consultation under sub-paragraph (1), the Secretary of State determines that the amount referred to in sub-paragraph (1) is to be distributed among one or more relevant authorities, the distribution may not be made unless—

(a) the basis on which the Secretary of State intends to make the distribution (“the basis of distribution”) is specified in the local government finance report for the year in question, and

(b) the report is approved by a resolution of the House of Commons.

(3A) If a report is approved by resolution of the House of Commons under sub-paragraph (3)(b), the Secretary of State must calculate what amount (if any) fails to be paid to each relevant authority as its share of the amount referred to in sub-paragraph (1).”

48

Page 36, line 36, leave out “regulations” and insert “local government finance report”

LORD BEECHAM

LORD MCKENZIE OF LUTON

49*

Page 37, line 7, at end insert—

“( ) Should any part of a balance on a levy account for any year remain undistributed after 3 years from the end of that year, the Secretary of State shall report to Parliament on the reasons therefore.”

LORD TOPE

BARONESS KRAMER

50*

Page 42, line 21, at beginning insert “The Secretary of State may provide for the designation of areas in which certain non-domestic revenues shall be ring fenced to support infrastructure investment financed using tax increment finance and other mechanisms, and in order to do so”

51*

Page 43, line 8, at end insert—

“(e) provide that any indebtedness incurred against such amount shall not be treated as a liability of the public sector through adjustments to the Accounts and Audit Regulations made under section 27 of the Audit Commission Act 1998”

52*

Page 43, leave out lines 22 to 26 and insert—

“(5) The regulations—

(a) must specify the date on which the designation takes effect (which may be any date in the future), and

(b) may specify the years for which the designation has effect.”

53*

Page 44, line 15, at end insert—

“(13A) The consent of the Treasury permits all schemes proposed by local authorities which meet the conditions specified in the regulations.”

LORD SMITH OF LEIGH

54

Page 46, line 12, at end insert—

“Publication of Impacts and Resets Calculation and supply of information on the impact on total resources available for Local Authorities

39A (1) The Secretary of State must for each year and in relation to each billing authority in England identify—

(a) the total level of resources available for each billing authority in the preceding year including—

(i) the local share of an authority’s non-domestic rating income;

(ii) the total of any top up or tariff;

(iii) the total of any levy paid to the Government;

(iv) the total of any safety net paid by the Government;

(v) the total amount of resources raised through council tax;

(vi) the total of any homes bonus paid by the Government;

(vii) any other payments made by the Government considered appropriate to be included by the Government following consultation with local government;

(b) an estimate of the total level of resources available for each billing authority in the forthcoming year including—

(i) the local share of an authority’s non-domestic rating income;

(ii) the total of any top up or tariff;

(iii) the total of any levy paid to the Government;

(iv) the total of any safety net paid by the Government;

(v) the total amount of resources raised through council tax;

(vi) the total of any homes bonus paid by the Government;

(vii) any other payments made by the Government considered appropriate to be included by the Government following consultation with local government.

39B (1) The information under paragraph 40A must be set out in a report, to be called an “Impact of Business Rates Retention Report”.

(2) The Secretary of State must for each year, alongside the local government finance report, lay or make arrangements for laying, the Impact of Business Rates Retention Report before the House of Commons.

(3) As soon as is reasonably practicable after an Impact of Business Rate Retention Report is laid before the House of Commons, the Secretary of State must send a copy of the report to each relevant authority.

Resets of the Business Rates Retention System

39C (1) The Secretary of State shall be required to make arrangements for a ‘reset’ of the Business Retention System every 3 years to coincide with each spending review period.

(2) The reset is to take on board a reassessment for each authority of—

(a) relative spending needs;

(b) relative resources available through council tax income;

(c) relative resources available through business rates.

(3) The assessment of relative need is to be determined in full consultation with local government.

Designation of tax increment financing schemes

39D (1) The Secretary of State may by regulation—

(a) designate one or more tax increment financing schemes;

(b) provide for the calculation in accordance with the regulations, for each year for which the designation has effect and in relation to the billing authority of the amount mentioned in sub-paragraph (2);

(c) provide for that amount to be disregarded for the purpose of the calculation under paragraph 39C(2).

(2) The amount referred to in sub-paragraph (1)(b) is the total amount which, if the authority acted diligently, would be payable to it for the year under section 43 or 45 in respect of the hereditaments in the tax increment financing scheme.”

Clause 2

LORD MCKENZIE OF LUTON

LORD BEECHAM

55

Page 2, line 20, leave out from “2” to end of line 21 and insert “shall have effect in relation to such financial year as is approved by a resolution of both Houses of Parliament (“the initial financial year”) and subsequent financial years, and the initial financial year shall be no earlier than the financial year beginning 1 April 2014”

LORD WARNER

LORD BEST

56

Page 2, line 21, at end insert—

“( ) In making any change to revenue support grant arising from introduction of any part of this Act, the Secretary of State will ensure that no council with responsibilities for adult social care services is required to reduce their funding of those services in real terms until legislation has been introduced that provides a comprehensive and sustainable solution for the funding of those services.”

Clause 3

LORD MCKENZIE OF LUTON

LORD BEECHAM

57

Page 3, line 20, leave out from “section” to end of line 21 and insert “shall have effect in relation to such financial year as is approved by a resolution of both Houses of Parliament (“the initial financial year”) and subsequent financial years, and the initial financial year shall be no earlier than the financial year beginning 1 April 2014”

Clause 4

LORD MCKENZIE OF LUTON

LORD BEECHAM

58

Page 3, line 34, leave out from “section” to end of line 35 and insert “shall have effect in relation to such financial year as is approved by a resolution of both Houses of Parliament (“the initial financial year”) and subsequent financial years, and the initial financial year shall be no earlier than the financial year beginning 1 April 2014”

After Clause 4

LORD JENKIN OF RODING

LORD MCKENZIE OF LUTON

LORD TOPE

LORD PALMER OF CHILDS HILL

59

Insert the following new Clause—

“Changes to national business rate policy

The Secretary of State may not make any changes to national business rate policy which impact on local business rate yields without first consulting all interested parties.”

Clause 5

LORD MCKENZIE OF LUTON

LORD BEECHAM

60

Page 4, line 4, leave out from “Schedule” to end of line 5 and insert “shall have effect in relation to such financial year as is approved by a resolution of both Houses of Parliament (“the initial financial year”) and subsequent financial years, and the initial financial year shall be no earlier than the financial year beginning 1 April 2014”

After Clause 8

THE EARL OF LYTTON

61

Insert the following new Clause—

“Non-domestic rating, valuation, appeals, etc.

After the coming into force of this Act, any question as to the person or body liable to a charge to council tax or business rates shall be referred to the Valuation Tribunal and may be determined prior to any hearing by agreement with either the Valuation Office Agency or Billing Authority (or both) or (as the case may be) determined as part of any appeal into the level of banding or assessment as if it were an appeal against a non-domestic assessment.”

62

Insert the following new Clause—

“Payment by instalments

The Secretary of State may by order make regulations for the payment by instalments of any backdated liability for non-domestic rates where the previous liability arises in respect of an effective date specified by the valuation officer in a rate year prior to the year in which the relevant alteration to the valuation list is made.”

63*

Insert the following new Clause—

“Rural petrol filling stations

The amount prescribed as the maximum amount of the rateable value for the purposes of section 43(6B)(6) (mandatory relief for certain hereditaments) of the Local Government Finance Act 1988 shall be, in the case of a petrol filling station (as defined in article 1(2) of the Non-Domestic Rating (Public Houses and Petrol Filling Stations) (England) Order 2001, £40,000.”

64*

Insert the following new Clause—

“Relief for community buildings

Any relief given of rates chargeable in respect of any hereditament occupied by, or by trustees for, a charity and wholly or mainly used for charitable purposes (whether of that charity or of that and other charities) shall also be given in respect of any hereditament that is held on trust by or on behalf of a parish or town council or for a local community, not being for profit and used wholly or mainly for community purposes.”

65*

Insert the following new Clause—

“Annual return regarding occupation of space

(1) Paragraph 5(1) of Schedule 9 to the Local Government Finance Act 1988 (request for specified information regarding a hereditament from the owner or occupier) is amended as follows.

(2) After “A valuation Officer may serve a notice” insert “from 1st April 2013, at least annually”.

(3) After sub paragraph (1A) insert—

“(1C) The notice may also require that details be provided of significant alterations to the hereditament whether of a structural nature or as to the occupation of the whole or any part or parts thereof made in the period of 12 months up to the time of the notice and both owner and occupier of any hereditament may be served with such notice accordingly, and any information requested may include the date of the change or addition.””

66*

Insert the following new Clause—

“Central Rating Lists

(1) This section shall apply to any appeal in respect of the Central Rating List after the 31st March 2015.

(2) As regards the Central Rating List, and except as hereinafter provided, no single billing authority or group shall exercise rights to appeal or become involved in any appeal discussions as a party regardless of the size of the apportioned part of that central list assessment falling within its boundary.

(3) A billing authority desiring to be a party to a Central Rating List appeal shall first notify the responsible Valuation Officer of its intention to form an “Appeal Group”.

(4) An Appeal Group shall consist of not less than ten billing authorities which once formed shall be entitled to be represented as a single party in making or participating in any appeal including discussions or settlement of proceedings arising from any appeal provided such appeal is first lodged after 31st March 2015 and shall advise the valuation officer of the identity of the member authorities accordingly.

(5) Where the appeal group wishes to participate in an appeal lodged by another party, an appeal group shall be formed within 5 months of the date on which the valuation officer notifies relevant authorities as provided for hereunder.

(6) An appeal group shall be represented by a single nominated billing authority (the “lead authority”) on behalf of others and the lead authority shall act in the same capacity as a single authority whether as appellant or respondent.

(7) The lead authority shall be entitled to recover its reasonable costs from and be responsible for repaying costs as appropriate to the other members of the appeal group on such basis as they may determine or failing agreement as determined by the Secretary of State and shall be entitled to seek an award of costs or be liable to refund costs to another party as if it were a single party to the appeal.

(8) On receipt of notification of an appeal (in whatever form) against a Central List entry, the responsible valuation officer shall notify any billing authority in whose area any part of the hereditament concerned is situated (or if the billing authority is the appellant, the ratepayer) and pending notification of the formation of an appeal group shall not conclude negotiations or agree terms for the disposal of the appeal.

(9) The Secretary of State may make further regulations in relation to the exercise of these provisions.”

67*

Insert the following new Clause—

“Disclosure and provision of information

In any appeal against the banding for council tax in the valuation list or of any non domestic hereditament in the Rating List, the parties shall prior to any appeal hearing, disclose and exchange the evidence on which they propose to rely as if the provisions of the Civil Procedure Rules applied.”

68*

Insert the following new Clause—

“Appeals by billing authority

After paragraph 25 (arrangements for appeals) of the Non-Domestic Rating (Alteration Of Lists And Appeals) (England) Regulations 2005 insert—

“25A Appeals by billing authority

(1) A billing authority which on and after the date this Bill passes into law is aggrieved—

(a) by the inclusion of any hereditament in the rating list; or

(b) by any value ascribed in the list to a hereditament or by any other statement made or omitted to be made in the list with respect to that hereditament; or

(c) in the case of a building or a portion of a building occupied in parts, by the valuation in the list of that building or portion of a building as a single hereditament,

may at any time save as hereinafter provided make a proposal for the alteration of the list so far as it relates to that hereditament.

(2) In any appeal against an entry in the non-domestic rating list for their area on and from April 1st 2015 and save as hereinafter provided the relevant billing authority shall have rights as if it were a direct party to the appeal to take any step that a party could take in pursuance of that appeal including the attendance and presentation of evidence at Valuation Tribunal including the rights of appeal afforded to others taking part in the proceedings to the Upper Tribunal as necessary.

(3) In the exercise of the rights, the billing authority shall be entitled to a copy of any validly made proposal (within six weeks of its being received by the valuation officer) and may give notice to the responsible valuation officer within 4 months of that copy being received of its intention to be a party to the matter including any subsequent negotiations and shall be entitled to be notified of any withdrawal or discontinuance of the appeal and shall be a party to any agreement to alter the rating list that may be reached or any compromise of the appeal howsoever arrived at.

(4) Once so notified, the other parties to the appeal shall treat the billing authority as a full party and it shall be entitled to be notified of any and all procedural steps after its notice is received and for the avoidance of any doubt the billing authority is entitled under these provisions to be concerned by any or all of the entry or entries appearing in the rating list including but not limited to value, description and effective date.

(5) If the billing authority decides at any time that it no longer wishes to be involved in the proceedings it shall be entitled to notify same to the other parties and take no further part in the proceedings but without prejudice to any liability to contribute to the other parties costs as hereinafter determined.

(6) The Secretary of State may by order set out the circumstances under which such withdrawal may give rise to liability to contribute to the costs any of the other parties to the matter where withdrawal would cause unreasonable additional expense or hardship to that other party.

(7) A billing authority shall have no rights of inspection as regards any hereditament (save for circumstance in which the billing authority itself is the owner or the occupier) in connection with the exercise of its rights under this section.””

69*

Insert the following new Clause—

“Current rent passing

The Secretary of State may by order make regulations for the making of appeals against an entry or entries in the Rating List and no appeal shall be struck out or declared invalid save as provided for in regulations and in any event a failure to provide detail of the rent passing at the date the proposal to alter the List is made shall not render that appeal invalid.”

70*

Insert the following new Clause—

“Validation of appeals

In paragraph 8 of the Non-Domestic Rating (Alteration of Lists and Appeals (England) Regulations 2005 SI 2005/659) (invalid proposals) in sub-paragraph (1), after the words “he may at any time after its service on him” insert “provided that period is not longer than one month after such service”.”

BARONESS HOLLIS OF HEIGHAM

71*

Insert the following new Clause—

“Grants: minimum amounts

Any grant payable to a local authority in England in support of a council tax reduction scheme shall not be less than the amount required to meet the costs of a scheme prescribed for the purposes of paragraph 4 of Schedule 1A to the LGFA 1992, or the amount of council tax benefit subsidy for that local authority in respect of the year beginning 1 April 2012.”

Clause 9

LORD MCKENZIE OF LUTON

LORD BEECHAM

BARONESS HOLLIS OF HEIGHAM

72

Page 5, line 11, at beginning insert “From 1 April 2014,”

BARONESS DONAGHY

73*

Page 5, line 26, after scheme insert “, and consult their staff on its effectiveness,”

74*

Page 5, line 31, at end insert—

“( ) In exercising its powers under subsection (2)(b), the authority must have regard to the impact of the scheme on work incentives for those persons in the area, including for those who are in employment or actively seeking employment.”

BARONESS HOLLIS OF HEIGHAM

75*

Page 5, line 31, at end insert—

“(2A) Each local authority in preparing its council tax reduction scheme should start on the basis that, all other factors being the same, the total cost should be no greater or less than in the previous financial year.”

BARONESS SHERLOCK

BARONESS LISTER OF BURTERSETT

76*

Page 5, line 31, at end insert—

“( ) In exercising its powers under subsection (2)(b), the authority must have regard to the impact of the scheme on disabled people in the area.”

LORD MCKENZIE OF LUTON

LORD BEECHAM

77

Page 6, line 8, at end insert—

“( ) No regulations under paragraphs 2 and 4 of the new Schedule 1A to the LGFA 1992 shall be made unless a draft of the instrument has been laid before and approved by resolution of each House of Parliament.”

LORD MCKENZIE OF LUTON

LORD BEECHAM

BARONESS HOLLIS OF HEIGHAM

78

Page 6, line 17, leave out “2013” and insert “2014”

79

Page 6, line 19, leave out “2013” and insert “2014”

BARONESS HOLLIS OF HEIGHAM

 

Baroness Hollis of Heigham gives notice of her intention to oppose the Question that Clause 9 stand part of the Bill.

Schedule 4

BARONESS LISTER OF BURTERSETT

81*

Page 58, line 32, at end insert—

“( ) Provision shall be made by the Secretary of State for the funding of the council tax discount scheme for all eligible claimants under the scheme.”

80

Page 58, line 32, at end insert—

“( ) A scheme must set out the steps, including consulting local charities and organisations providing advice on benefits, which the local authority will take to ensure that—

(a) it estimates the numbers of people eligible to an application for reduction under the scheme;

(b) persons entitled to a reduction will be made aware of their entitlement; and

(c) assistance is available to such persons who wish to make an application.”

LORD BEST

82*

Page 58, line 42, leave out from beginning to end of line 13 on page 59

BARONESS HOLLIS OF HEIGHAM

BARONESS SHERLOCK

83*

Page 59, line 41, at end insert—

“( ) Such consultation shall apply to the proposed council tax discount scheme both under the existing benefit structure, and when appropriate under the proposed Universal credit structure.”

LORD MCKENZIE OF LUTON

84*

Page 60, line 21, at end insert—

“( ) The default scheme must include provisions concerning reductions for vulnerable people having at least the equivalent effect to provisions under council tax benefit regulations for the year commencing 1 April 2012.

( ) The Secretary of State must make regulations to—

(a) state the class or classes of persons deemed to be vulnerable for the purposes of the above; and

(b) identify the extent to which he considers such persons must be entitled to a reduction under any other scheme made as a consequence of section 9 of this Act.”

85*

Page 60, line 23, leave out “2013” and insert “2014”

LORD BEST

86*

Page 60, leave out line 28

LORD MCKENZIE OF LUTON

87*

Page 60, line 34, at end insert—

“(4A) If the default scheme reduces or removes a reduction to which any class of persons was entitled under council tax benefit, it must include such transitional provision relating to that reduction or removal as the Secretary of State, after consultation with representatives of local government, think fit.”

BARONESS SHERLOCK

BARONESS LISTER OF BURTERSETT

88*

Page 60, line 34, at end insert—

“(4A) The default scheme shall ensure, in so far as can be reasonably assessed, that no person of working age shall receive a lesser entitlement to a council tax reduction than they would have been entitled to in similar circumstances under council tax benefit arrangements replaced by such a scheme.”

BARONESS HOLLIS OF HEIGHAM

89*

Page 67, line 7, at end insert—

“Welfare Reform Act 2012 (c. 5)

8 In section 1(3)(c) of the Welfare Reform Act 2012, after “an amount for housing” insert “including council tax costs”.”

90*

Page 67, line 7, at end insert—

“9 In section 8(2)(c) of the Welfare Reform Act 2012, after “section 11 (housing costs), and” insert “including council tax”.”

91*

Page 67, line 7, at end insert—

“10 For section 36 of the Welfare Reform Act 2012 substitute—

“36 Migration to universal credit including council tax benefit

Schedule 6 contains provisions about the replacement of benefits, including council tax benefit, by universal credit.””

Before Clause 10

BARONESS SHERLOCK

92*

Insert the following new Clause—

“Report on effects of provisions

At a date no later than three years from the implementation of this Act, the Secretary of State shall prepare a report detailing the effect of these provisions on—

(a) the number of people receiving or eligible to receive council tax support in each local authority, including the number in employment, the number actively seeking work, and the number of pensionable age;

(b) the costs incurred by each authority in running the scheme, including the cost of appeals; and

(c) the impact on work incentives.”

Clause 11

LORD JENKIN OF RODING

BARONESS EATON

LORD SHIPLEY

LORD TOPE

93

Page 8, line 31, at end insert—

“( ) The total amount of any payable to a local authority in England will be assessed each financial year beginning with 1 April 2013 in line with the Government’s New Burdens Doctrine.”

After Clause 14

BARONESS MEACHER

94

Insert the following new Clause—

“Enforcement of council tax

Councils shall include procedures in their contracts with bailiff companies covering the enforcement of council tax which allows for the return of a warrant by the bailiffs to the councils for reconsideration when—

(a) there is a mistake in the decision to issue the warrant in the first place;

(b) the warrant was imposed by the local authority before the relevant facts of the case were known;

(c) the circumstances of the defaulter have changed since the warrant was issued by the local authority;

(d) the defaulter is experiencing financial hardship and is unable to pay the tax; and

(e) the circumstances of the defaulter fall within the circumstances of “vulnerable situations” on page 9 of the National Standards for Enforcement Agents issued by the Ministry of Justice in 2012.”

THE EARL OF LYTTON

95

Insert the following new Clause—

“Proposals to alter valuation list

On receipt of a proposal to alter the valuation list made by or on behalf of a ratepayer, the Valuation Officer Agency shall within 30 days issue an acknowledgement of receipt and any such acknowledgement shall be evidence that the proposal is valid.”

96

Insert the following new Clause—

“Appeals against entry

The Secretary of State may by order make regulations for the conduct of appeals against an entry in the valuation list and no appeal shall be struck out or declared invalid save as provided for in regulations.”

Before Clause 16

BARONESS LISTER OF BURTERSETT

97

Insert the following new Clause—

“Grants paid under section 70 of the Welfare Reform Act 2012

(1) Any grant paid to local authorities under section 70 of the Welfare Reform Act 2012 (social fund) shall be expended by the local authority only for said purposes.

(2) Any such grants will be made under the guidance of the Secretary of State with regard to the application of any “local connection rules” including so that any such rule does not apply to—

(a) people who have fled domestic violence;

(b) young people who have left local authority care;

(c) young people who are homeless, or who have been homeless within the last 12 months;

(d) people who have left institutional or residential care, including a hospital, prison or young offenders’ institution.”

Prepared 2nd July 2012