1 Citation, commencement, application and interpretation

(1)    These Regulations may be cited as the Local Authorities (Alteration of Requisite Calculations) (England) Regulations 2004 and shall come into force on 7th February 2004.

(2)    These Regulations apply in relation to the financial year beginning on 1st April 2004 and in relation to authorities in England only .

(3)    In these Regulations—

“the 1992 Act” means the Local Government Finance Act 1992;

“the 1999 Act” means the Greater London Authority Act 1999.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see para (1) above.

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2 Budget requirement (billing authorities)calculation

2Budget requirement (billing authorities)–calculation

Section 32 of the 1992 Act has effect as if—

(a)    in subsection (2)(a) the words “, other than any expenditure it estimates will be charged to a BID Revenue Account for the year (excluding expenditure incurred by the authority in making a financial contribution or taking action under section 43(2)(a) of the Local Government Act 2003)” were added at the end of that subsection;

(b)    in subsection (3)(a) the words—

(i)    “BID levy or financial contribution made by a person under section 43(2)(b) or (c) of the Local Government Act 2003,” were inserted after the words “redistributed non-domestic rates,”;

(ii)    “or relevant special grant” were omitted; and

(c)    for subsection (12) there were substituted the following subsection—

“(12)    In this section and in section 33 below “police grant” means the grant payable in accordance with paragraph 3.1 of the Police Grant Report (England and Wales) 2004/05 approved by a resolution of the House of Commons pursuant to section 46 of the Police Act 1996 on 5th February 2004.”;

(d)    there were added after subsection (12)—

“(13)    In this section “BID levy” and “BID Revenue Account” shall bear the meaning given in Part 4 of the Local Government Act 2003.”.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Administration of Council Tax & Billing93 Calculation of Council Tax99 Property Taxes95 Council Tax93 Real Property Law95 Tax Law93

3 Basic amount of council tax (billing authorities)calculation

3Basic amount of council tax (billing authorities)–calculation

Section 33(1) of the 1992 Act has effect as if the words “or relevant special grant” in item P were omitted.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Administration of Council Tax & Billing93 Calculation of Council Tax99 Property Taxes96 Council Tax93 Real Property Law96 Tax Law93

4 Budget requirement (major precepting authorities other than the Greater London Authority)calculation

4Budget requirement (major precepting authorities other than the Greater London Authority)–calculation

Section 43 of the 1992 Act has effect as if—

(a)    in subsection (3)(a)(i) the words “relevant special grant” were omitted;

(b)    for subsection (6A), there were substituted the following subsection—

“(6A)    In this section and section 44 below, “police grant” has the meaning given by section 32(12) above.”.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Administration of Council Tax & Billing93 Calculation of Council Tax99 Property Taxes95 Council Tax93 Real Property Law95 Tax Law93

5 Basic amount of council tax (major precepting authorities other than the Greater London Authority) calculation

5Basic amount of council tax (major precepting authorities other than the Greater London Authority) – calculation

Section 44(1) of the 1992 Act has effect as if the words “relevant special grant” in item P were omitted.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Administration of Council Tax & Billing93 Calculation of Council Tax99 Property Taxes96 Council Tax93 Real Property Law96 Tax Law93

6 Budget requirement (Greater London Authority) calculation

6Budget requirement (Greater London Authority) – calculation

Section 85(5)(a)(i) of the 1999 Act has effect as if the words “relevant special grant” were omitted.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Administration of Council Tax & Billing93 Calculation of Council Tax99 Property Taxes95 Council Tax93 Real Property Law95 Tax Law93

7 Basic amount of council tax (Greater London Authority) calculation

7Basic amount of council tax (Greater London Authority) – calculation

Section 88 of the 1999 Act has effect as if—

(a)    in subsection (2) in item P1 paragraph (e) were omitted;

(b)    in subsection (4) paragraph (d) were omitted.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Administration of Council Tax & Billing93 Calculation of Council Tax99 Property Taxes96 Council Tax93 Real Property Law96 Tax Law93

8 Additional calculation: special item for part of Greater London

8Additional calculation: special item for part of Greater London

Section 89 of the 1999 Act has effect as if—

(a)    in subsection (4) in item P2 paragraph (f) were omitted;

(b)    in subsection (6) paragraph (e) were omitted.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Administration of Council Tax & Billing94 Calculation of Council Tax99 Property Taxes95 Council Tax94 Real Property Law95 Tax Law94

9 Interpretation of Chapter I of Part 3 of the 1999 Act

9Interpretation of Chapter I of Part 3 of the 1999 Act

Section 99 of the 1999 Act has effect as if the definition of “relevant special grant” were omitted.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Calculation of Council Tax99 Property Taxes95 Council Tax99 Real Property Law95 Tax Law95

10 Distribution of grants by the Greater London Authority

10Distribution of grants by the Greater London Authority

Section 102 of the 1999 Act has effect as if—

(a)    in subsection (2) paragraph (c) were omitted;

(b)    subsection (8) were omitted.

NOTES
Initial Commencement
Specified date

Specified date: 7 February 2004: see reg 1(1).

Calculation of Council Tax99 Property Taxes94 Council Tax99 Real Property Law94 Tax Law94

Signature

Signed by authority of the First Secretary of State

Nick Raynsford

Minister of State

Office of the Deputy Prime Minister

5th February 2004

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EXPLANATORY NOTE

EXPLANATORY NOTE (This note is not part of the Regulations)

Sections 32 and 43 of the Local Government Finance Act 1992 (“the 1992 Act”) set out respectively how a billing authority and a major precepting authority other than the Greater London Authority (“GLA”) are to calculate their budget requirements for a financial year, and sections 33 and 44 of that Act set out respectively how a billing authority and such a major precepting authority are to calculate the basic amount of their council tax. For the Greater London Authority, the budget requirement is calculated under section 85 of the Greater London Authority Act 1999 (“the 1999 Act”), the basic amount of council tax (for services funded by the GLA other than the Metropolitan Police Authority) is calculated under section 88 of that Act and the additional amount of council tax in respect of the Metropolitan Police Authority is calculated under section 89 of that Act.

Regulation 2(a) of these Regulations amends for authorities in England for the financial year beginning on 1 April 2004, section 32(2)(a) of the 1992 Act to exclude expenditure to be charged to a business improvement district (“BID”) Revenue Account (except for expenditure incurred by the authority in making a financial contribution or taking action under section 43(2)(a) of the Local Government Act 2003) from the expenditure that the authority must aggregate under section 32(2). Similarly, regulation 2(b) of these Regulations amends for authorities in England section 32(3)(a) to exclude BID levy or financial contributions made by a person under section 43(2)(b) or (c) of the Local Government Act 2003 from the income that the authority must aggregate under section 32(3)(a). BIDs are projects to improve a particular area. They are paid for by a BID levy and the revenue received by a billing authority by way of BID levy may only be spent on the BID project. Regulation 2(d) inserts definitions for BID levy and BID Revenue Account.

Regulations 2(b) and 3 to 10 of these Regulations omit references to “relevant special grants” from sections 32, 33, 43 and 44 of the 1992 Act, and from sections 85, 88, 89, 99 and 102 of the 1999 Act, for the financial year beginning on 1st April 2004 since no special grants are being defined as relevant special grants for the financial year beginning on 1st April 2004.

Regulation 2(c) of these Regulations amends the definition in section 32 of the 1992 Act of “police grant” for the financial year beginning on 1st April 2004. The amended definition applies to that section, and also to sections 33, 43 and 44 of the 1992 Act. The same definition of police grant applies to the corresponding sections of the 1999 Act (under section 99 of that Act).

A copy of the Police Grant Report (England and Wales) 2004/05 approved on 5th February 2004 ISBN 0–10–292728–6, price £5.00, referred to in regulation 2(c) may be obtained from the Stationery Office.

A full regulatory impact assessment has not been produced for this instrument, as it has no impact on the costs of businesses, charities or voluntary bodies.

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