SCHEDULES

F1SCHEDULE 7BLocal retention of non-domestic rates

Part 10Designation of areas and classes of hereditament

Designation of areas

39

(1)

The Secretary of State may by regulations—

(a)

designate one or more areas in England (a “designated area”);

(b)

provide for the calculation in accordance with the regulations, for each year for which the designation has effect and in relation to each billing authority all or part of whose area falls within a designated area, of the amount mentioned in sub-paragraph (2);

(c)

provide for the calculation of a proportion of that amount in accordance with the regulations;

(d)

provide for that amount or that proportion to be disregarded for the purposes of calculations under any of the following provisions in its application to the authority for that year—

(i)

paragraph 6 (payments in respect of the central share);

(ii)

regulations under paragraph 7 (administrative arrangements for payments in respect of the central share);

(iii)

regulations under paragraph 9 (payments by billing authorities to major precepting authorities);

(iv)

regulations under paragraph 10 (administrative arrangements for payments by billing authorities to major precepting authorities);

(v)

paragraph 13 (calculations following local government finance report);

(vi)

paragraph 16 (calculations following amending report);

(vii)

paragraph 23 (calculations of levy payments);

(viii)

paragraph 26 (calculations of safety net payments);

(ix)

regulations under paragraph 28 (calculations of payments on account);

(x)

paragraph 30 (calculations relating to distribution of remaining balance).

(2)

Subject as follows, the amount referred to in sub-paragraph (1)(b) is the total amount which, if the authority acted diligently, would be payable to it for the year under sections 43 and 45 in respect of the hereditaments within the designated area.

(3)

The regulations may provide for that amount, or any proportion calculated under sub-paragraph (1)(c), to be adjusted in accordance with the regulations (and references in this paragraph to that amount or proportion include the amount or proportion as adjusted in accordance with such provision).

(4)

The regulations may, in particular, provide for adjustments to that amount or that proportion by reference to changes affecting a calculation under regulations under this paragraph for an earlier year but not taken into account in that calculation.

(5)

The regulations must—

(a)

specify the date on which the designation takes effect, which must be the first day of a year, or

(b)

provide that the designation is to take effect on the first day of the first year after specified conditions have been met.

(6)

Conditions under sub-paragraph (5)(b) may require compliance with specifications or requirements contained in a document of a specified kind.

(7)

If the regulations make provision under sub-paragraph (5)(b), they must provide that they will cease to have effect at the end of a specified period unless the conditions are met by the end of that period.

(8)

The regulations may specify the years for which the designation has effect.

(9)

If the regulations contain provision under sub-paragraph (8)

(a)

amendments within sub-paragraph (10) may not be made to the regulations unless (in the case of amendments within paragraph (a), (b) or (c) of that sub-paragraph) the amendments are expressed to come into force after the end of that period, and

(b)

the regulations may not be revoked unless the revocation is expressed to come into force after the end of that period.

(10)

The amendments mentioned in sub-paragraph (9)(a) are those which have the effect of—

(a)

altering the boundaries of a designated area,

(b)

where provision made under paragraph (d) of sub-paragraph (1) has the effect that the amount referred to in that paragraph is to be disregarded, providing for a proportion of that amount to be disregarded,

(c)

where provision made under that paragraph has the effect that a proportion is to be disregarded, reducing that proportion, or

(d)

reducing the period for which the designation has effect.

(11)

Regulations under this paragraph must specify each area designated by the regulations by means of a plan or map (whether or not each area is specified by any other means).

(12)

An area may be designated by regulations under this paragraph by reference to such factors as the Secretary of State thinks fit.

(13)

The consent of the Treasury is required to regulations under this paragraph.

(14)

In this paragraph “specified” means specified in the regulations.