Part VIE+W Rate Support Grant

Modifications etc. (not altering text)

C1Part VI extended by ss. 69(1), 82(1), and modified by s. 81(1)(3) of the Local Government Act 1985 (c. 51, SIF 81:1)

C8Pt. VI (ss. 48–68) amended by S.I. 1990/1024, art. 4(1)

New system of rate support grantsE+W

59 Adjustments of distribution of block grant. E+W

(1)Subject to the following provisions of this section, the Secretary of State may provide in a Rate Support Grant Report that the amount of block grant payable to a local authority for a year shall be calculated by deducting from their total expenditure, instead of the product of their drant-related poundage and the gross rateable value of their area, the product of those sums multiplied by a multiplier determined by the Secretary of State.

(2)(3)

F1(4)The power conferred by subsection (1) above may be exercised so as to determine different multipliers for different authorities.

(5)Except as provided by subsection (7) below, the power—

(a)may only be exercised—

(i)in accordance with principles to be applies to all local authorities; or

(ii)in accordance with principles to be applied to all local authorities belonging to the appropriate class; and

(b)may only be exercised for any such purpose as is specified [F2in paragraphs (b) to (d) of subsection (6) below or in section 2(2) of the Rate Support Grants Act 1986]

(6)The purposes mentioned in subsection (5) above are—

(a)

F3(b)taking account of less than the gross rateable value of an authority or group of authorities in calculating the amount of block grant payable;

(c)reducing, whether in whole or in part, disparities in the rates levied in different rating areas of Greater London other than the Temples; and

[F4(cc)making, in the amount of block grant payable to an authority, adjustments by refernce to guidance issued by the Secretary of State and designed to achieve any reduction in the level of local authority expenditure (or any restriction on increase in that level) which he thinks necessary heving regard to general economic conditions; and]

(d)any other such purposes as the Secretary of State may determine.

[F5(6A)A multiplier may be subject to a maximum determined by the Secretary of State]

(7)The power may also be exercised in accordance with principles to be applied to the councils to whose police expenses section 57 of the M1Police Act 1964 applies (counties falling partly within the Metropolitan Police District).

(8)If the Secretary of State exercises that power, the principles on which he exercises it shall be soecified in the Rate Support Grant Report.

(9)In this Part of this Act “the appropriate class”, in relation to a local authority, means the class specified in subsection (10) below to which that authority belongs.

(10)Subject to subsection (11) below, any local authority of a description specified in any of the paragraphs of section 53(5) above belongs to a class consisting of all the authorities of that description.

(11)Section 53(5) above shall be treated for the purposes of this section—

(a)

F6(b)as if paragraph (d) referred to two classes, namely—

(i)councils of the metropolitan districts; and

(ii)councils of non-metropolitan districts; and

[F7(c)as if paragraph (e) referred to two classes, namely—

(i)councils of inner London boroughs; and

(ii)councls of outer London boroughs;]

[F8; and

(d)as if paragraph (ff) referred to four classes, namely—

(i)metropolitan county passenger transport authorities and the Northumbria Police Authority;

(ii)metropolitan county passenger transport authorities;

(iii)metropolitan county fire and civil defence authorities; and

(iv)the London Fire and Civil Defence Authority.]

[F9(11A)Any guidance issued for the purposes of subsection (6)(cc) above shall be framed by reference to principles applicable to all local authorities, and before issuing any guidance for those purposes the Secretary of State shall consult such associations of local authorities as appear to him to be concerned and any local authority with whom consultation appears to him to be desirable.]

(12)In their application to block grant payable to a local authority for the commencing year subsections (3) and (6)(a) above shall have effect as if references to an amount determined by the Secretary of State were substituted for the reference to the amount of block grant payable to the authority for the previous year.

Textual Amendments

F3S. 59(6)(a) repealed (and Superseded in part) by Rate Support Grants Act 1986 (c. 54, SIF 103:1). s. 2(1)(3), Sch. 1 para. 4(3), Sch. 2

Modifications etc. (not altering text)

Marginal Citations