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PART VIRate Support Grant

Amendments relating to existing system of rate support grants

48General power to reduce rate support grant

(1)The Secretary of State may reduce the amount of rate support grant payable to a local authority for the year 1980-81 and any subsequent year before the commencing year if the uniform rate for that authority's area in that year exceeds the notional uniform rate.

(2)In this section—

(3)A report under section 3(3) of the Local Government Act 1974 (reports on rate support grant orders) shall specify the amount of the notional uniform rate.

(4)The notional uniform rate for the year 1980-81 shall be of such an amount as is specified in the report for that year under section 3(3) of the Local Government Act 1974.

(5)A report under section 4(2) of that Act (reports on redetermination) shall specify the principles on which the Secretary of State has made any adjustment of the uniform rates of authorities in Greater London.

(6)Where the Secretary of State makes any such adjustment, he shall apply the same principles in making it to all authorities in Greater London.

(7)Any expression used in this section or in section 49 or 50 below and to which a meaning is assigned by the [1974 c. 7.] Local Government Act 1974 has that meaning for the purposes of those sections.

49Reduction of resources element

(1)In any case where the Secretary of State makes an order under section 4 of the Local Government Act 1974 (orders varying rate support grant orders) he may make a fresh determination of the amount of the resources element of rate support grant payable to a local authority for the year to which the order relates as provided in this section.

(2)A determination under this section shall be made by multiplying the uniform rate for the area of a local authority by a multiplier of an amount less than unity.

(3)Different multipliers may be determined under this section for different authorities.

(4)The principles on which multipliers are determined under this section shall be specified in an order made by statutory instrument by the Secretary of State.

(5)The same principles shall be applied to every determination under this section of a multiplier for any year.

(6)An order under this section shall be laid before the House of Commons and shall not have effect until approved by a resolution of that House; and no determination shall be made under this section until the order has effect.

50Reduction of needs element for authorities in Greater London

(1)The Secretary of State may vary the amount of the needs element of rate support grant payable to the council of a London borough or the Common Council of the City of London for any year, in the manner provided in this section, if the rateable value per head of the population of their area, as determined under paragraph 9 of Schedule 2 to the Local Government Act 1974, exceeds the national standard rateable value per head of population, as defined by paragraph 8 of that Schedule.

(2)The Secretary of State shall carry out the variation mentioned in subsection (1) above, in relation to any authority, by multiplying the additional amount of needs element payable by virtue of the additional factors prescribed in relation to them under paragraph 1(b) of Schedule 2 to the Local Government Act 1974 by a multiplier determined on principles specified in an order made by statutory instrument by the Secretary of State.

(3)Different multipliers may be determined under this section for different authorities.

(4)The same principles shall be applied to every determination under this section for any year.

(5)An order under this section shall be laid before the House of Commons and shall not have effect until approved by a resolution of that House ; and no variation shall be made under this section until the order has effect.

51Supplementary grants for transport purposes

(1)Notwithstanding anything in the [1974 c. 7.] Local Government Act 1974, the power of making grants under section 6(1) of that Act (supplementary grants for transport purposes payable by Minister of Transport in relation to England and Secretary of State in relation to Wales) may be exercised separately and differently for England and for Wales.

(2)An order made by statutory instrument may provide that, with effect from such year as may be specified in the order, no supplementary grants for transport purposes under section 6 of the Local Government Act 1974 shall be paid or that no such grants shall be paid except in respect of expenditure of a description specified in the order.

(3)Any such order shall be made—

(a)for England, by the Minister of Transport; and

(b)for Wales, by the Secretary of State.

(4)An order under this section may contain such provisions as appear to the Minister of Transport or, as the case may be, the Secretary of State to be necessary or proper in consequence of the provisions of the order, including provisions amending, repealing or revoking (with or without savings) any enactment or instrument made under an enactment.

(5)In subsection (4) above "enactment" includes an enactment contained in this Act.

(6)The power to make orders under this section includes power, from the beginning of the commencing year, to specify different years in relation to England and to Wales and to make other different provision in relation to them.

(7)No order under this section shall have effect until approved by a resolution of each House of Parliament.

52Separate provision for Wales

(1)Notwithstanding anything in the Local Government Act 1974, the powers—

(a)of. specifying under section 2(7) (a) of that Act bodies whose expenditure in the provision of services for local authorities may be defrayed by the Secretary of State ; and

(b)of making grants under section 7(1) of that Act (supplementary grants towards expenditure with respect to National Parks),

may be exercised separately and differently for England and for Wales.

(2)Nothing in subsection (1) above shall affect any regulations made by virtue of section 2(7)(a) of the [1974 c. 7.] Local Government Act 1974 before the passing of this Act.