Article 2
SCHEDULE 1CALCULATION OF SUBSIDY IN RESPECT OF ADMINISTRATION COSTS
1. Subject to paragraphs 3, 4, 5 and 6, the additional sum which may be paid to an authority under section 30(3) of the Act (referred to in this Schedule as “the additional sum”) shall be calculated in accordance with the following formula–
Where–
A is the amount available as subsidy in respect of the costs of administering housing benefit being–
(a)in the case of the new town corporations in England, Wales or Scotland, the Development Board for Rural Wales, or the Scottish Homes, £1,842,000; or
(b)in the case of authorities other than those specified in sub-paragraph (a) of this paragraph–
(i)in England, £109,800,000;
(ii)in Wales, £4,950,000; or
(iii)in Scotland, £12,000,000;
B is the estimate of administration costs for the two years immediately preceding the year beginning 1st April 1988 submitted by that authority before 11th December 1987;
C is the total of such estimates submitted by all authorities in the category specified in sub-paragraph (a), (b)(i), (b)(ii) or (b)(iii), as the case may be, of the definition of A;
D is the figure for that authority’s workload, calculated in accordance with paragraph 2;
E is the total of the figures for the workload of all authorities in the category specified in sub-paragraph (a), (b)(i), (b)(ii) or (b)(iii), as the case may be, of the definition of A.
2. The figure for an authority’s workload shall be the aggregate of the amounts obtained by applying the relevant formula to each of the categories of rebates and allowances applicable to that authority listed in column (1) of Table 2 below, that formula being–
(a)in the case of an authority specified in column (1) of Table 1 below, the product of F × G × H;
(b)in the case of any other authority, the product of F × G.
Where–
F is–
(a)in the case of an authority which submitted before 17th November 1988 details of the numbers of persons in each of the categories listed in column 1 of Table 2 below who were in receipt of rebates or allowances both on 31st May 1988 and 31st August 1988–
(i)the average number of such persons in each of the categories; plus
(ii)in the category of case specified in paragraph (b)(i) of column (1) of Table 2 (persons on income support, other tenants rent allowance cases) the number of boarders in an authority’s area estimated before 17th November 1988 by the Secretary of State, or in the case of an authority within the Greater London area, the number submitted before that date by that authority, to be in receipt of income support on a date in June 1988 multiplied by 5/4;
(b)in the case of an authority listed in column (1) of Schedule 6 the figures for rebates and allowances specified for each of the categories listed in columns (2) and (3) of Schedule 6.
G is the figure specified in relation to that category in whichever of columns (2) to (6) of that Table is appropriate to that authority;
H is the cost adjustment figure specified in column (2) of Table 1 below.
For the purposes of “F”–
“the authorities within the Greater London area” are the authorities of Barking, Barnet, Bexley, Brent, Bromley, Camden, City of London, Croydon, Ealing, Enfield, Greenwich, Hackney, Hammersmith, Haringey, Harrow, Havering, Hillingdon, Hounslow, Islington, Kensington and Chelsea, Kingston upon Thames, Lambeth, Lewisham, Merton, Newham, Redbridge, Richmond upon Thames, Southwark, Sutton, Tower Hamlets, Waltham Forest, Wandsworth and Westminster.
TABLE 1
| (1) | (2) |
|---|---|
| Authority | Cost Adjustment Figure |
| BARKING | 1.093 |
| BARNET | 1.093 |
| BASILDON | 1.047 |
| BASILDON NEW TOWN | 1.047 |
| BEXLEY | 1.093 |
| BRACKNELL | 1.047 |
| BRENT | 1.093 |
| BRENTWOOD | 1.047 |
| BROMLEY | 1.093 |
| BROXBOURNE | 1.070 |
| CAMDEN 1.120 | |
| CHILTERN | 1.047 |
| CITY OF LONDON | 1.228 |
| CRAWLEY | 1.047 |
| CRAWLEY NEW TOWN | 1.047 |
| CROYDON | 1.093 |
| DACORUM | 1.047 |
| DARTFORD | 1.070 |
| EALING | 1.093 |
| EAST HERTFORDSHIRE | 1.047 |
| ELMBRIDGE | 1.070 |
| ENFIELD | 1.093 |
| EPPING FOREST | 1.070 |
| EPSOM AND EWELL | 1.070 |
| GREENWICH | 1.120 |
| GUILDFORD | 1.047 |
| HACKNEY | 1.120 |
| HAMMERSMITH | 1.120 |
| HARINGEY | 1.093 |
| HARLOW | 1.047 |
| HARROW | 1.093 |
| HAVERING | 1.093 |
| HEMEL HEMPSTEAD NEW TOWN | 1.047 |
| HERTSMERE | 1.070 |
| HILLINGDON | 1.093 |
| HOUNSLOW | 1.093 |
| ISLINGTON | 1.120 |
| KENSINGTON AND CHELSEA | 1.120 |
| KINGSTON UPON THAMES | 1.093 |
| LAMBETH | 1.120 |
| LEWISHAM | 1.120 |
| MERTON | 1.093 |
| MOLE VALLEY | 1.047 |
| NEWHAM | 1.093 |
| REDBRIDGE | 1.093 |
| REIGATE AND BANSTEAD | 1.070 |
| RICHMOND UPON THAMES | 1.093 |
| RUNNYMEDE | 1.047 |
| SEVENOAKS | 1.047 |
| SLOUGH | 1.070 |
| SOUTH BUCKINGHAMSHIRE | 1.070 |
| SOUTHWARK | 1.120 |
| SPELTHORNE | 1.070 |
| ST ALBANS | 1.047 |
| SURREY HEATH | 1.047 |
| SUTTON | 1.093 |
| TANDRIDGE | 1.047 |
| THREE RIVERS | 1.070 |
| THURROCK | 1.047 |
| TOWER HAMLETS | 1.120 |
| WALTHAM FOREST | 1.093 |
| WANDSWORTH | 1.120 |
| WATFORD | 1.070 |
| WAVERLEY | 1.047 |
| WELWYN HATFIELD | 1.047 |
| WESTMINSTER | 1.120 |
| WINDSOR AND MAIDENHEAD | 1.047 |
| WOKING | 1.047 |
TABLE 2
| (1) | (2) | (3) | (4) | (5) | (6) |
|---|---|---|---|---|---|
| Category of case | Non-metropolitan authorities and new town corporations in England | Non-metropolitan authorities and new town corporations in Scotland and the Scottish Homes | Non-metropolitan authorities and new town corporations in Wales and the Development Board for Rural Wales | Metropolitan authorities | London boroughs |
| Persons on income support (a)Tenants of an authority– | |||||
(i)rent rebate | 7.98 | 8.27 | 9.55 | 8.49 | 8.83 |
(ii)rate rebate | 7.93 | — | 8.99 | 8.36 | 9.05 |
(iii)community charge rebate | — | 10.81 | — | — | — |
(b)Other tenants– | |||||
(i)rent allowance | 43.45 | 45.80 | 43.06 | 38.48 | 42.15 |
(ii)rate rebate | 42.45 | — | 37.72 | 38.95 | 43.84 |
(iii)community charge rebate | — | 56.91 | — | — | — |
(c)Persons other than tenants– | |||||
(i)rate rebate | 7.85 | — | 9.19 | 7.65 | 8.23 |
(ii)community charge rebate | — | 9.81 | — | — | — |
| Persons not on income support (a)Tenants of an authority– | |||||
(i)rent rebate | 9.75 | 7.96 | 10.88 | 11.53 | 11.47 |
(ii)rate rebate | 9.72 | — | 10.93 | 11.39 | 11.71 |
(iii)community charge rebate | — | 10.45 | — | — | — |
(b)Other tenants– | |||||
(i)rent allowance | 46.08 | 32.82 | 46.63 | 51.21 | 49.50 |
(ii)rate rebate | 45.02 | — | 44.97 | 48.18 | 52.96 |
(iii)community charge rebate | — | 42.38 | — | — | — |
(c)Persons other than tenants– | |||||
(i)rate rebate | 7.68 | — | 7.79 | 7.98 | 9.12 |
(ii)community charge rebate | — | 8.33 | — | — | — |
3.—(1) If the additional sum, as calculated under paragraph 1–
(a)exceeds–
(i)in England and Wales, 120 per cent. of an amount calculated in accordance with sub-paragraph (2) of this paragraph, the additional sum for that authority for that year shall be 120 per cent. of such amount; or
(ii)in Scotland, 130 per cent. of an amount calculated in accordance with sub-paragraph (2) of this paragraph, the additional sum for that authority for that year shall be 130 per cent. of such amount;
(b)is less–
(i)in England and Wales, than 80 per cent. of an amount calculated in accordance with sub-paragraph (2) of this paragraph, the additional sum for that authority for that year shall be 80 per cent. of such amount; or
(ii)in Scotland, than 90 per cent. of an amount calculated in accordance with sub-paragraph (2) of this paragraph, the additional sum for that authority for that year shall be 90 per cent. of such amount.
(2) The amount referred to in paragraph (1) shall be the additional sum payable to the authority calculated in accordance with Schedule 1 to the Housing Benefit (Subsidy) Order 1989(1).
4. Where the total of additional sums calculated under paragraphs 1 and 3 is less or more than–
(a)for new town corporations in England, Wales or Scotland, the Development Board for Rural Wales or the Scottish Homes, £1,842,000; or
(b)for authorities other than those specified in sub-paragraph (a) of this paragraph–
(i)in England, £109,800,000;
(ii)in Wales, £4,950,000; or
(iii)in Scotland, £12,000,000,
the amount of the additional sum for an authority to which paragraph 3 does not apply shall be calculated, subject to paragraph 5, in accordance with the following formula–
Where–
J is the additional sum calculated under paragraph 1 in respect of the authority;
K is the total of the additional sums calculated under paragraph 1 in respect of all authorities to which paragraph 3 does not apply in the category specified in sub-paragraph (a), (b)(i), (b)(ii) or (b)(iii) of this paragraph respectively;
L is the balance of the total amount specified in paragraph 1 available as subsidy in respect of the cost of administering housing benefit for authorities in the category specified in sub-paragraph (a), (b)(i), (b)(ii) or (b)(iii) of this paragraph respectively, after deduction of the additional sums for such authorities to which paragraph 3 applies.
5.—(1) If the additional sum for an authority for the relevant year as calculated under paragraph 4–
(a)exceeds–
(i)in England and Wales, 120 per cent. of an amount calculated under paragraph 3(2), the additional sum for that authority for that year shall be 120 per cent. of such amount; or
(ii)in Scotland, 130 per cent. of an amount calculated under paragraph 3(2), the additional sum for that authority for that year shall be 130 per cent. of such amount;
(b)is less–
(i)in England and Wales, than 80 per cent. of an amount calculated under paragraph 3(2), the additional sum for that authority for that year shall be 80 per cent. of such amount; or
(ii)in Scotland, than 90 per cent. of an amount calculated under paragraph 3(2), the additional sum for that authority for that year shall be 90 per cent. of such amount.
6. Until the aggregate of the additional sums calculated under paragraphs 3, 4 and 5 equals the amount available as subsidy in respect of the cost of administering housing benefit for authorities in the category specified in sub-paragraph (a), (b)(i), (b)(ii), or (b)(iii) respectively of paragraph 4 the formula set out in paragraph 4 and paragraph 5 shall, subject to the modifications specified below, continue to apply to calculate the additional sum for those authorities to which neither paragraph 3 nor paragraph 5 has applied; and for that purpose–
(a)J shall apply as if the additional sum were the sum calculated under paragraph 4, or, if by virtue of this paragraph there has been more than one calculation, last calculated under that paragraph in respect of the authority;
(b)K shall apply as if the total of the additional sums were the total of the additional sums calculated under paragraph 4, or, if by virtue of this paragraph there has been more than one calculation last calculated under that paragraph in respect of all authorities to which paragraph 5 did not apply in that calculation; and
(c)L shall apply as if the amount to be deducted to determine the balance of the total amount available were the additional sums for authorities to which, in the calculation under paragraphs 4 and 5, or, if there has been more than one calculation under those paragraphs, the last such calculation paragraph 5 applied.
S.I. 1989/607.