The Non-Domestic Rating Contributions (England) Regulations 1992

Explanatory Note

(This note is not part of the Regulations)

Under Part II of Schedule 8 to the Local Government Finance Act 1988 billing authorities are required to pay amounts (called non-domestic rating contributions) to the Secretary of State. Payments in respect of a provisional amount of the contributions are made during the financial year, final calculations and payments being made after the year ends. These Regulations contain rules for the calculation of those contributions.

Regulation 3 and Schedule 1 provide for the calculation of a final non-domestic rating contribution which is broadly the same as the total payable to the billing authority under sections 43 and 45 of the Act (modified by regulation 2(2), in the case of a special authority as defined in section 144(6) of the Act, to take account of its non-domestic rating multiplier). Provision is included in Schedule 1 for the deduction of prescribed percentages of relief granted by the authority under sections 47 and 49 of the Act, of a fixed allowance in respect of costs of collection and recovery, and of amounts in respect of matters such as bad debts and interest on amounts repaid to ratepayers.

Regulation 4 and Schedule 2 provide for the assumptions which are to be made when calculating the provisional amount.

Regulations 5 and 6 provide that where prescribed conditions are fulfilled, the amount calculated under regulation 4 will be replaced by an amount calculated under regulations 5 and 6 and Schedule 3. These provisions will operate where the amounts expected to be received by the billing authority in respect of non-domestic rates have been substantially reduced during the financial year.

Regulations 7, 8 and 9 provide that where a provisional amount has been recalculated under regulations 5 and 6, repayments will be made to the billing authority and any further amounts payable by the authority will be reduced.

Regulation 10 provides for further payments by the billing authority or repayments by the Secretary of State where the amount of the billing authority’s non-domestic rating contribution certified under arrangements made by the Audit Commission for Local Authorities in England and Wales is different to the amount notified by the billing authority to the Secretary of State.

Regulation 11 revokes, subject to a savings provision, the Non-Domestic Rating Contributions (England) Regulations 1989 and subsequent amending regulations. This Statutory Instrument has been made in consequence of defects in S.I. 1992/3082 and is being issued free of charge to all known recipients of that Statutory Instrument.