The power to make an order under F1section 4(1) of the M1Local Government Act 1974 increasing the amounts fixed by a rate support grant order for a particular year shall be exercisable, in accordance with subsection (2) of this section, in relation to any rate support grant order made before the date of the coming into operation of any provision of this Act (in this section referred to as “the relevant provision”) for a grant period ending after that date.

Without prejudice to F1subsection (6) of the said section 4 (which empowers an order under subsection (1) of that section to vary the matters prescribed by a rate support grant order), an order under subsection (1) of that section made by virtue of this section may be made for such year or years comprised in the grant period concerned as may be specified in the order and in respect of the year or each of the years so specified shall increase the amounts fixed by the relevant rate support grant order as the aggregate amounts of the rate support grants and any elements of the grants for that year to such extent and in such a manner as may appear to F2the Secretary of State to be appropriate, having regard to any additional expenditure incurred or likely to be incurred by local authorities in consequence of the coming into operation of the relevant provision.

In this section “grant period” means the period for which a rate support grant order is made.

There shall be defrayed out of moneys provided by Parliament any increase in rate support grants attributable to this Act.