The Housing Benefit and Council Tax Benefit (Subsidy) Order 1997

Calculation of applicable amount

3.—(1) Subject to paragraphs 4 to 6, where in the case of an appropriate authority in England or in Wales—

(a) α (being the housing benefit amount and the applicable amount calculated under this Part in respect of that appropriate authority) exceeds β (being 120 per cent. of the relevant amount), the applicable amount for that appropriate authority for the relevant year shall be the sum calculated under paragraph 2 less the excess; or

(b) α (being the total of the housing benefit amount and the applicable amount calculated under this Part in respect of that appropriate authority) is less than Υ (being 95 per cent. of the relevant amount) the applicable amount for that appropriate authority shall be the sum calculated under paragraph 2 plus an amount equal to the difference between α and Υ.

(2) The relevant amount for the purposes of this paragraph and paragraph 5 is—

(a) the aggregate of the housing benefit amount and council tax benefit amount payable to that appropriate authority for the financial year ending 31st March 1996 calculated in accordance with Schedules 1 and 2 to the 1996 Order (calculation of subsidy in respect of administration costs); except

(b) in the case of a new authority listed in column (1) of Schedule 13, the figure specified for that authority in column (2) of that Schedule.