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Part VIE+W Housing Finance

Modifications etc. (not altering text)

C1Pt. 6 (ss. 74-86) applied (1.4.1997) by 1992 c. 5, s. 140G (as inserted (1.4.1997) by 1996 c. 52, s. 121, Sch. 12 paras. 4; S.I. 1997/618, art. 2 (subject to transitional provisions in Sch.))

Housing subsidiesE+W

79 Housing Revenue Account subsidy.E+W

(1)Housing Revenue Account subsidy shall be payable for each year to local housing authorities [F1in Wales].

[F2(2)Housing Revenue Account subsidy shall be paid by the [F3Welsh Ministers]—

(a)in such instalments, at such times and in such manner, and

(b)subject to such conditions as to claims, records, certificates, supply of Housing Revenue Account business plans, audit or otherwise,

as the [F3Welsh Ministers] may determine.]

(3)Sections 421 to 427A of the M1Housing Act 1985 (which are superseded, in their application to local housing authorities, by this section and sections 80 and 86 below) shall cease to apply in relation to such authorities.

Textual Amendments

F2S. 79(2) substituted (18.11.2003 for E. and 27.11.2003 for W. for the purpose of and in relation to financial years beginning on or after 1.4.2004) by Local Government Act 2003 (c. 26), ss. 89(1), 128(6); S.I. 2003/2938, art. 3(a) (with art. 8, Sch.); S.I. 2003/3034, art. 2, Sch. 1 Pt. I

Marginal Citations

80 Calculation of Housing Revenue Account subsidy.E+W

[F4(1)The amount of Housing Revenue Account subsidy (if any) payable to a local housing authority [F5in Wales] for a year shall be calculated in such manner as the [F6Welsh Ministers] may from time to time determine.

(1A)A determination under subsection (1) above may (in particular)—

(a)provide for all or part of the amount to be calculated in accordance with a formula or formulae;

(b)provide for the amount, or part of the amount, to be calculated by reference to—

(i)whether any Housing Revenue Account business plan that the authority are required to prepare by any time has been supplied to the [F7Welsh Ministers] or has been supplied to the [F7Welsh Ministers] by that time;

(ii)the [F8Welsh Ministers'] assessment of any Housing Revenue Account business plan prepared by the authority and supplied to the [F9Welsh Ministers];

(iii)whether conditions are met that relate to, or to the authority’s conduct of, the authority’s finances or any aspect of those finances;

(iv)an assessment of the state of, or of the authority’s conduct of, the authority’s finances or any aspect of those finances;

(v)whether conditions are met that relate to housing provided by the authority, to housing functions of the authority or to the authority’s performance in exercising such functions;

(vi)an assessment of, or of the state of, housing provided by the authority;

(vii)an assessment of the authority’s performance in exercising functions in relation to housing provided by the authority or in otherwise exercising housing functions;

(viii)whether, as respects housing provided by the authority, management functions exercisable in relation to that housing have been entrusted to a company;

(ix)whether, where such functions have been entrusted to a company, conditions are met that relate to the performance of the company in exercising the functions;

(x)an assessment, where such functions have been entrusted to a company, of the performance of the company in exercising those functions;

(xi)assumptions as to any matter;

(c)have the effect that the amount, or part of the amount, is nil or a negative amount;

(d)make different provision for different parts of the amount.]

F10(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(3)In determining a formula for the purposes of this section for any year, [F11the [F12Welsh Ministers] may (in particular)] include variables framed (in whatever way [F13they consider] appropriate) by reference to—

(a)any amounts which fall to be or were credited or debited to the authority’s Housing Revenue Account for that year or any previous year;

(b)any amounts which, on such assumptions as the [F14Welsh Ministers] may determine (whether or not borne out or likely to be borne out by events), would fall to be or would have been so credited or debited; and

(c)such other matters relating to the authority, or to (or to tenants of) houses and other property which are or have been within the account, as [F15the Welsh Ministers think] fit;

F16...

(4)Without prejudice to the generality of subsection (3) above, a formula may require it to be assumed that the amount for any year of the rental income or housing expenditure of each authority [F17in Wales] is to be determined—

(a)by taking the amount which the [F18Welsh Ministers consider] (having regard, amongst other things, to past and expected movements in incomes, costs and prices) should be or should have been the aggregate amount for that year of the rental incomes or, as the case may be, the housing expenditure of all of the authorities [F19in Wales] taken together; and

(b)by apportioning that amount between [F20the authorities] in such manner as the [F21Welsh Ministers consider] appropriate (which may involve, if [F22the Welsh Ministers think] fit, inferring the aggregate values of the houses and other property within [F23the authorities'] respective Housing Revenue Accounts from the average values of any of the houses and other property which [F24the authorities] have disposed of);

and in this subsection “rental income” means income falling within item 1 of Part I of Schedule 4 to this Act and “housing expenditure” means expenditure falling within item 1 of Part II of that Schedule or falling to be debited to the authorities’ Housing Repairs Accounts.

[F25(5)Nothing in subsections (1A) to (4) above is to be taken as limiting the [F26Welsh Ministers'] discretion under subsection (1) above.

(6)The [F27Welsh Ministers] may make a determination under subsection (1) above, or a calculation under such a determination, on the basis of information received by [F28them] on or before such date as [F29they think] fit.]

Textual Amendments

F4S. 80(1)(1A) substituted for s. 80(1) (18.11.2003 for E. and 27.11.2003 for W. for the purpose of and in relation to financial years beginning on or after 1.4.2004) by Local Government Act 2003 (c. 26), ss. 89(2), 128(6); S.I. 2003/2938, art. 3(a) (with art. 8, Sch.); S.I. 2003/3034, art. 2, Sch. 1 Pt. I

F10S. 80(2) repealed (27.11.2003 for W. for the purpose of and in relation to financial years beginning on or after 1.4.2004, and 1.4.2004 for E.) by Local Government Act 2003 (c. 26), ss. 90(2), 128(6), Sch. 8 Pt. 1; S.I. 2003/2938, art. 7(a)(e)(iii) (with art. 8, Sch.); S.I. 2003/3034, art. 2, Sch. 1 Pt. I

F11Words in s. 80(3) substituted (18.11.2003 for E. and 27.11.2003 for W. for the purpose of and in relation to financial years beginning on or after 1.4.2004) by Local Government Act 2003 (c. 26), ss. 89(3)(a), 128(6); S.I. 2003/2938, art. 3(a) (with art. 8, Sch.); S.I. 2003/3034, art. 2, Sch. 1 Pt. I

F16Words in s. 80(3) repealed (18.11.2003 for E. and 27.11.2003 for W. for the purpose of and in relation to financial years beginning on or after 1.4.2004) by Local Government Act 2003 (c. 26), ss. 89(3)(b), 128(6), Sch. 8 Pt. 1; S.I. 2003/2938, art. 3(a)(i)(iii) (with art. 8, Sch.); S.I. 2003/3034, art. 2, Sch. 1 Pt. I

F25S. 80(5)(6) inserted (18.11.2003 for E. and 27.11.2003 for W. for the purpose of and in relation to financial years beginning on or after 1.4.2004) by Local Government Act 2003 (c. 26), ss. 89(5), 128(6); S.I. 2003/2938, art. 3(a) (with art. 8, Sch.); S.I. 2003/3034, art. 2, Sch. 1 Pt. I

Modifications etc. (not altering text)

C3S. 80: power to restrict conferred (1.12.1998) by 1998 c. 38, s. 22(5), Sch. 3 Pt. II para. 8 (with ss. 139(2), 143(2)); S.I. 1998/2789, art. 2

[F3080BAgreements to exclude certain authorities or propertyE+W

(1)Subsection (2) applies if an agreement is in force between the [F31Welsh Ministers] and a local housing authority for sections 79 to 80A not to apply in relation to—

(a)the authority; or

(b)specified property, or specified descriptions of property, of the authority.

(2)Sections 79 to 80A do not apply in relation to the authority or (as the case may be) property for each year provided for in the agreement.

(3)Such an agreement may, in particular, contain terms and conditions about—

(a)the period of years for which sections 79 to 80A are not to apply (whether a fixed or indefinite period);

(b)payments to the authority by the [F32Welsh Ministers] or by the authority to the [F32Welsh Ministers];

(c)the levels of rent for specified property or specified descriptions of property (in the case of an agreement of the kind mentioned in subsection (1)(b));

(d)the provision of information;

(e)the variation or termination of the agreement (whether on the occurrence of particular events, at the discretion of the [F33Welsh Ministers] or otherwise).

(4)The [F34Welsh Ministers] may give directions about supplementary, incidental, consequential or transitional matters relating to the variation or termination of an agreement of the kind mentioned in subsection (1).

(5)Such directions may not override any provision made on the subject by the agreement unless the directions are given with the consent of the local housing authority concerned.

(6)The provision made by the directions or the agreement may, in particular, include transitional provision about the terms and conditions on which the authority or (as the case may be) property is to become subject to sections 79 to 80A after the termination of the agreement.

(7)This section does not restrict the circumstances in which Housing Revenue Account subsidy is otherwise not payable to a local housing authority, or in respect of particular property, by virtue of this Part.

(8)In this section—

Textual Amendments

[F3580ZANegative amounts of subsidy payable to [F36Welsh Ministers] E+W

(1)If calculation in accordance with a determination under section 80(1) above of the amount of Housing Revenue Account subsidy payable to a local housing authority for a year produces a negative amount—

(a)the authority shall for that year debit the equivalent positive amount to their Housing Revenue Account, and

(b)pay that equivalent amount to the [F37Welsh Ministers].

(2)Amounts payable to the [F38Welsh Ministers] under subsection (1)(b) above shall be paid to [F39them] in such instalments, at such times and in such manner as [F40they] may determine.

(3)A payment in respect of an amount payable under subsection (1)(b) above shall be accompanied by such information as the [F41Welsh Ministers] may require.

(4)The [F42Welsh Ministers] may charge a local housing authority interest, at such rates and for such periods as [F43the Welsh Ministers] may determine, on any sum payable to [F44the Welsh Ministers] under subsection (1)(b) above that is not paid by such time as may be determined under subsection (2) above for its payment.

(5)The [F45Welsh Ministers] may charge a local housing authority an amount equal to any additional costs incurred by [F46the Welsh Ministers] as a result of any sum payable to [F46the Welsh Ministers] under subsection (1)(b) above not being paid by such time as may be determined under subsection (2) above for its payment.]

Textual Amendments

F35S. 80ZA inserted (18.11.2003 for E. and 27.11.2003 for W. for the purpose of and in relation to financial years beginning on or after 1.4.2004) by Local Government Act 2003 (c. 26), ss. 90(1), 128(6); S.I. 2003/2938, art. 3(a) (with art. 8, Sch.); S.I. 2003/3034, art. 2, Sch. 1 Pt. I

[F4780A Final decision on amount of Housing Revenue Account subsidy.E+W

(1)The [F48Welsh Ministers] shall, as soon as [F49they think] fit after the end of the year, make a final decision as to the amount (if any) of Housing Revenue Account subsidy payable to a local housing authority [F50in Wales] for that year and notify the authority in writing of [F51their] decision.

[F52(1A)Notification in writing of a decision under this section is to be taken as given to a local housing authority where notice of the decision is sent using electronic communications to such address as may for the time being be notified by that authority to the [F53Welsh Ministers] for that purpose.

F52(1B)Notification in writing of a decision under this section is also to be treated as given to a local housing authority where—

(a)the [F54Welsh Ministers] and that authority have agreed that notifications of decisions under this section required to be given in writing to that authority may instead be accessed by that authority on a web site;

(b)the decision is a decision to which that agreement applies;

(c)the [F55Welsh Ministers have] published the decision on a web site;

(d)that authority is notified, in a manner for the time being agreed for the purpose between it and the [F56Welsh Ministers], of—

(i)the publication of the decision on a web site;

(ii)the address of that web site; and

(iii)the place on that web site where the notice may be accessed, and how it may be accessed.

F52(1C)A local housing authority which is no longer willing to accept electronic communications for the notification of decisions under this section, may withdraw a notification of an address given to the [F57Welsh Ministers] for the purposes of subsection (1A) above, and such a withdrawal shall take effect on a date specified by the authority being a date no less than one month after the date on which the authority informs the [F57Welsh Ministers] that it wants to withdraw the notification of the address given.

F52(1D)A local housing authority which has entered into an agreement with the [F58Welsh Ministers] under paragraph (a) of subsection (1B) above may revoke the agreement, and such a revocation shall take effect on a date specified by the authority being a date no less than one month after the date on which the authority informs the [F58Welsh Ministers] that it wants to revoke the agreement.]

(2)Once notified to the authority the decision is conclusive as to the amount (if any) payable by way of subsidy and shall not be questioned in any legal proceedings.

(3)Where the amount of Housing Revenue Account subsidy paid to an authority is less than the amount finally decided, the authority is entitled to be paid the balance.

(4)Where Housing Revenue Account subsidy has been paid to an authority in excess of the amount finally decided, the [F59Welsh Ministers] may recover the excess, with interest from such time and at such rates as [F60they think] fit.

[F61(4A)Without prejudice to other methods of recovery, a sum recoverable under subsection (4) above may—

(a)be recovered by withholding or reducing subsidy, and

(b)if the sum is referable to housing benefit in respect of houses or other property within the authority’s Housing Revenue Account, be recovered by withholding or reducing rent rebate subsidy under Part 8 of the Social Security Administration Act 1992.]

(5)Nothing in this section affects any power of the [F62Welsh Ministers] to vary a determination as to the amount of subsidy before the final decision is made.]

Textual Amendments

F47S. 80A inserted (1.10.1996 with effect as mentioned in Sch. 18 para. 5(2) of the amending Act) by 1996 c. 52, s. 222, Sch. 18 para. 5(1); S.I. 1996/2402, art. 3

F52S. 80A(1A)-(1D) inserted (E.) (10.12.2000) by S.I. 2000/3056, art. 2 and the said insertion extended to Wales (1.4.2001) by S.I. 2001/605, art. 2(2)

F61S. 80A(4A) substituted for words (18.11.2003) by Local Government Act 2003 (c. 26), s. 128(3)(e), Sch. 7 para. 31; S.I. 2003/2938, art. 2(a) (with art. 8, Sch.)

Modifications etc. (not altering text)

C4S. 80A extended (W.) (1.4.2001) by S.I. 2001/605, art. 2(1), Sch.

F6381. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .E+W

Textual Amendments

F6482 Residual debt subsidy for year 1989–90.E+W

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Textual Amendments

F6483 Calculation of residual debt subsidy.E+W

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Textual Amendments

F6484 Adjustment of housing subsidy for year 1989-90.E+W

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Textual Amendments