The Non-Domestic Rating (Rates Retention) and (Levy and Safety Net) (Amendment) Regulations 2017

1A

For the relevant year beginning on 1st April 2018, the Secretary of State’s share of any surplus or of any deficit estimated for that year under paragraph 1 by a billing authority listed in Part 1 of Schedule 5 is calculated in accordance with the formula—

$$(A-(B+C-D-E))\times 33\%+((B+C-D-E)\times 50\%)$$

1B

For the relevant year beginning on 1st April 2018, the Secretary of State’s share of any surplus or of any deficit estimated for that year under paragraph 1 by a billing authority listed in Parts 2 to 6 of Schedule 5 is calculated in accordance with the formula—

$$(B+C-D-E)\times 50\%$$

1C

For a relevant year beginning on or after 1st April 2019, the Secretary of State’s share of any surplus or of any deficit estimated for that year under paragraph 1 by a billing authority listed in Part 1 of Schedule 5 is 33%.

1D

For a relevant year beginning on or after 1st April 2019, the Secretary of State’s share of any surplus or of any deficit estimated for that year under paragraph 1 by a billing authority listed in Parts 2 to 6 of Schedule 5 is zero.

2A

Where the relevant precepting authority is the Greater London Authority, its share of any surplus or of any deficit—

a

for the relevant year beginning on 1st April 2017, is 20%;

b

for the relevant year beginning on 1st April 2018, is calculated in accordance with the formula—

$$(A-(B+C-D-E))\times 37\%+((B+C-D-E)\times 20\%)$$

2B

Where the relevant precepting authority is the West of England Combined Authority, its share of any surplus or of any deficit—

a

for the relevant year beginning on 1st April 2017, is zero;

b

for the relevant year beginning on 1st April 2018, is calculated in accordance with the formula—

$$(A-(B+C-D-E))\times 5\%$$

4

For the relevant year beginning on 1st April 2018, for a billing authority listed in Parts 2 to 4 of Schedule 5, the billing authority’s share of any surplus or of any deficit for that year is calculated in accordance with the formula—

$$(A-(B+C-D-E))\times 99\%+((B+C-D-E)\times 49\%)$$

5

For the relevant year beginning on 1st April 2018, for a billing authority listed in Part 5 of Schedule 5, the billing authority’s share of any surplus or of any deficit for that year is calculated in accordance with the formula—

$$(A-(B+C-D-E))\times 94\%+((B+C-D-E)\times 49\%)$$

6

For the relevant year beginning on 1st April 2018, for a billing authority listed in Part 6 of Schedule 5, the billing authority’s share of any surplus or of any deficit for that year is calculated in accordance with the formula—

$$(A-(B+C-D-E))\times 100\%+((B+C-D-E)\times 50\%)$$

7

For a relevant year beginning on or after 1st April 2019, the billing authority’s share of any surplus or of any deficit for that year is—

a

for a billing authority listed in Parts 2 to 4 of Schedule 5, 99%;

b

for a billing authority listed in Part 5 of Schedule 5, 94%;

c

for a billing authority listed in Part 6 of Schedule 5, 100%.

8

In this paragraph—

• A is the surplus or deficit estimated for the relevant year beginning on 1st April 2018;

• B is the amount mentioned in paragraph 1(3)(a);

• C is the amount mentioned in paragraph 1(3)(e);

• D is the amount mentioned in paragraph 1(4)(a);

• E is the amount mentioned in paragraph 1(4)(g).

2A

Unless paragraph (2C) applies, for a relevant year commencing on or after 1st April 2017 an authority’s individual levy rate is 0.5 or the figure calculated in accordance with the formula in paragraph (2B), whichever is less.

2B

The formula is—

$$1-\genfrac{}{}{0.1ex}{}{E}{E-P+Q}$$

where—

• E is the authority’s baseline funding level for the year commencing on 1st April 2017; and

• P and Q have the meaning given in paragraph 1(1) of Schedule 1, as determined for the year commencing on 1st April 2017.

2C

For an authority listed in Part 1, 3, 5, 7 or 8 of Schedule 3, the individual levy rate for a relevant year beginning on or after 1st April 2017 is zero.

• P is—

  1. a

     unless paragraph (b) of this definition applies, the amount paid to the authority by the Secretary of State for the relevant year in accordance with Part 5 of Schedule 7B to the 1988 Act (principal payments in connection with local retention of non-domestic rates);

  2. b

     in respect of the billing authorities listed in Parts 2 to 8 of Schedule 3—

     1. i

        for the relevant year beginning on 1st April 2017, the amount specified for that authority in column 2 of Schedule 3;

     2. ii

        for a relevant year beginning on or after 1st April 2018, the amount calculated in accordance with the formula—

        $$A\times \genfrac{}{}{0.1ex}{}{B}{C}$$

• Q is—

  1. a

     unless paragraph (b) of this definition applies, the amount paid by the authority to the Secretary of State for the relevant year in accordance with Part 5 of Schedule 7B to the 1988 Act;

  2. b

     in respect of the billing authorities listed in Parts 2 to 8 of Schedule 3—

     1. i

        for the relevant year beginning on 1st April 2017, the amount specified for that authority in column 3 of Schedule 3;

     2. ii

        for a relevant year beginning on or after 1st April 2018, the amount calculated in accordance with the formula—

        $$A\times \genfrac{}{}{0.1ex}{}{B}{C}$$

1A

For the purpose of the definitions of P and Q in sub-paragraph (1)—

• A is the value for P or Q for the previous year;

• B is the small business rates multiplier for the relevant year;

• C is the small business rating multiplier for the preceding year.