The Income-related Benefits (Subsidy to Authorities) Order 1998

Article 20A

[F1 SCHEDULE 4A E+W+S RENT REBATE LIMITATION DEDUCTIONS (HOUSING REVENUE ACCOUNT DWELLINGS)

Textual Amendments

F1 Sch. 4A inserted (1.4.2004) by Income-related Benefits (Subsidiary to Authorities) Amendment Order 2004 (S.I. 2004/646) , art. 1(1), Sch. 1 para. 7

PART 1 E+W+S INTERPRETATION

1.   In this Schedule— E+W+S

[F2 “Affordable Rent” means the rent payable to an authority in respect of a tenancy of a dwelling where the rent is set on the same basis as would have been case if the amount of rent were subject to a standard set by the Regulator of Social Housing under section 194 of the Housing and Regeneration Act 2008 (which requires the initial rent to be set at no more than 80% of local market rent (including service charges));

“Affordable Rent dwelling” means a dwelling which the authority has let on a tenancy for which it charges an Affordable Rent, and in relation to which either of the following applies—

(a)

the authority has entered into an agreement with a relevant party that the dwelling is one for which the authority will charge an Affordable Rent; or

(b)

the authority has received a written notice from a relevant party that the dwelling is one for which the authority charges an Affordable Rent;]

[F3 “dwelling” has the same meaning it bears in the determination made under section 80(1) of the Local Government and Housing Act 1989,]

“ HRA ” means the Housing Revenue Account of the authority the amount of whose subsidy is under consideration,

“new service” means—

(a)

a service provided in the relevant year that was not provided in 2001–02,

(b)

[F4 an extension to a service, where the service is provided in the relevant year to a greater extent than in 2001-02, or]

(c)

a service provided in the relevant year for which a charge is imposed which is a service which was previously provided without charge because it was funded by a specific grant or subsidy (other than subsidy),

[F5 “relevant party” means—

(a)

the Homes and Communities Agency;

(b)

the Greater London Authority; or

(c)

the Secretary of State;]

“rent”, in relation to a dwelling, means the total of the payments in respect of the dwelling specified in [F6 regulation 12(1) of the Housing Benefit Regulations or, as the case may be, regulation 12(1) of the Housing Benefit (State Pension Credit) Regulations], other than a payment specified in regulation [F7 regulation 12(1)(e)],

F8 ...

F9 ...

“void dwelling” means a dwelling that is unoccupied,

“2001–02” means the year beginning with 1st April 2001 (and any corresponding expression in which two years are similarly mentioned is to be read in the same way).

Textual Amendments

F2 Words in Sch. 4A Pt. 1 inserted (with effect in accordance with art. 1(3) of the commencing S.I.) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2013 (S.I. 2013/266) , arts. 1(1) , 4(2)(a)

F3 Words in Sch. 4A Pt. 1 inserted (with effect in accordance with art. 1(2) of the commencing S.I.) by Income-related Benefits (Subsidy to Authorities) Amendment Order 2006 (S.I. 2006/54) , arts. 1(1) , 4(5)(a)

F4 Words in Sch. 4A Pt. 1 substituted (with effect in accordance with art. 1(2) of the commencing S.I.) by Income-related Benefits (Subsidy to Authorities) Amendment Order 2006 (S.I. 2006/54) , arts. 1(1) , 4(5)(b)

F5 Words in Sch. 4A Pt. 1 inserted (with effect in accordance with art. 1(3) of the commencing S.I.) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2013 (S.I. 2013/266) , arts. 1(1) , 4(2)(b)

F6 Words in Sch. 4A para. 1 substituted (6.3.2006) by The Housing Benefit and Council Tax Benefit (Consequential Provisions) Regulations 2006 (S.I. 2006/217) , reg. 1(1) , Sch. 2 para. 13(11)(a) (with regs. 2 , 3 , Schs. 3 , Sch. 4 )

F7 Words in Sch. 4A para. 1 substituted (with effect in accordance with art. 1(2) of the commencing S.I.) by Income-related Benefits (Subsidy to Authorities) Amendment (No.2) Order 2009 (S.I. 2009/2564) , art. 1(1) , Sch. para. 2

F8 Words in Sch. 4A para. 1 omitted (with effect in accordance with art. 1(3) of the commencing S.I.) by virtue of The Income-related Benefits (Subsidy to Authorities) Amendment Order 2011 (S.I. 2011/2957) , arts. 1(1) , 6(2)

F9 Words in Sch. 4A para. 1 omitted (with effect in accordance with art. 1(3) of the commencing S.I.) by virtue of The Income-related Benefits (Subsidy to Authorities) Amendment Order 2011 (S.I. 2011/2957) , arts. 1(1) , 6(2)

PART 2 E+W+S ENGLAND

Liability to deduction E+W+S

2.— (1) This paragraph applies in the case of an authority in England in relation to the relevant year if the authority is specified in the Table in Part 3 of this Schedule for that year and the weekly rent limit for a dwelling that is so specified for the authority is less than the subsidy limitation rent. E+W+S

[F10 (2) The subsidy limitation rent for an authority is equal to the average weekly rent for a dwelling for the authority for the relevant year, calculated in accordance with sub-paragraph (3).]

[F11 (3)  For the purposes of sub-paragraph (2), the average weekly rent for a dwelling for the authority for the relevant year is calculated by dividing the total rent charged for all dwellings in the HRA in that year by the total number of weeks for which rent was charged for all dwellings in the HRA. ]

F12 ( 4 ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) For the purposes of [F13 sub-paragraph (3)], void dwellings [F14 and dwellings which are Affordable Rent dwellings] are disregarded.

F15 ( 6 ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F16 ( 7 ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

[F17 (8) For the purposes of calculating the total number of weeks for which rent is charged in [F18 sub-paragraph (3)] rent free periods shall be included.]

Textual Amendments

F10 Sch. 4A para. 2(2) substituted (with effect in accordance with art. 1(3) of the commencing S.I.) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2011 (S.I. 2011/2957) , arts. 1(1) , 6(3)(a)

F11 Sch. 4A para. 2(3) substituted (1.4.2006) by Income-related Benefits (Subsidy to Authorities) Amendment (No.2) Order 2006 (S.I. 2006/559) , art. 1(1) , Sch. 1 para. 2(a)

F12 Sch. 4A para. 2(4) omitted (with effect in accordance with art. 1(3) of the commencing S.I.) by virtue of The Income-related Benefits (Subsidy to Authorities) Amendment Order 2011 (S.I. 2011/2957) , arts. 1(1) , 6(3)(b)

F13 Words in Sch. 4A para. 2(5) substituted (with effect in accordance with art. 1(3) of the commencing S.I.) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2011 (S.I. 2011/2957) , arts. 1(1) , 6(3)(c)

F14 Words in Sch. 4A para. 2(5) inserted (with effect in accordance with art. 1(3) of the commencing S.I.) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2013 (S.I. 2013/266) , arts. 1(1) , 4(3)

F15 Sch. 4A para. 2(6) omitted (with effect in accordance with art. 1(3) of the commencing S.I.) by virtue of The Income-related Benefits (Subsidy to Authorities) Amendment Order 2011 (S.I. 2011/2957) , arts. 1(1) , 6(3)(d)

F16 Sch. 4A para. 2(7) omitted (with effect in accordance with art. 1(3) of the commencing S.I.) by virtue of The Income-related Benefits (Subsidy to Authorities) Amendment Order 2011 (S.I. 2011/2957) , arts. 1(1) , 6(3)(d)

F17 Sch. 4A para. 2(8) inserted (with effect in accordance with art. 1(4) of the commencing S.I.) by Income-related Benefits (Subsidy to Authorities) (Miscellaneous Amendments and Electronic Communications) Order 2007 (S.I. 2007/26) , arts. 1(1) , 4(3)(b)

F18 Words in Sch. 4A para. 2(8) substituted (with effect in accordance with art. 1(3) of the commencing S.I.) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2011 (S.I. 2011/2957) , arts. 1(1) , 6(3)(c)

Amount of deduction E+W+S

3.— (1) The amount of the deduction from subsidy referred to in article 20A(2) shall be calculated as follows. E+W+S

• Step 1

  Divide the amount of rebates paid by the authority in the relevant year in respect of dwellings in the by the income of the authority for that year from rent and service charges (including rent and charges remitted by way of rebate) in respect of such dwellings.

• Step 2

  If the result of step 1 does not exceed the rebate proportion in England for the relevant year (see sub-paragraph (3))—

  (a)

  divide the weekly rent limit for a dwelling for the authority for the relevant year as specified in Part 3 of this Schedule by the subsidy limitation rent (see paragraph 2(2)),

  (b)

  subtract the result of paragraph (a) from the number 1, and

  (c)

  multiply the amount of the subsidy (apart from any deduction to be calculated under this Schedule) by the result of paragraph (b).

  If the result of step 1 exceeds the rebate proportion in England for the relevant year—

  (i)

  multiply the amount by which the subsidy limitation rent exceeds the weekly rent limit for a dwelling for the authority for the relevant year as specified in Part 3 of this Schedule by the rebate proportion in England for the relevant year,

  (ii)

  multiply the subsidy limitation rent by the result of step 1,

  (iii)

  divide the result of paragraph (i) by the result of paragraph (ii), and

  (iv)

  multiply the amount of the subsidy (apart from any deduction to be calculated under this Schedule) by the result of paragraph (iii).

(2) For the purposes of the calculation in sub-paragraph (1), void dwellings are to be disregarded.

[F19 (3) The rebate proportion for 2017-18 is 0.739.]

Textual Amendments

F19 Sch. 4A para. 3(3) substituted (26.10.2017) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2017 (S.I. 2017/900), art. 3(2), reg. 1

[F20 PART 3 E+W+S WEEKLY RENT LIMITS FOR PURPOSES OF PART 2: AUTHORITIES IN ENGLAND

Textual Amendments

F20 Sch. 4A Pt. 3 substituted (26.10.2017) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2017 (S.I. 2017/900), art. 3(3), reg. 1

Relevant Year 2017-2018

Authority	Weekly rent limit (£)
Adur	94.57
Arun	91.39
Ashfield	68.78
Ashford	89.54
Babergh	90.00
Barking and Dagenham	98.74
Barnet	108.99
Barnsley	75.32
Barrow in Furness	75.65
Basildon	88.48
Bassetlaw	73.03
Birmingham	83.47
Blackpool	71.79
Bolsover	82.49
Bournemouth	84.06
Brent	117.02
Brentwood	95.31
Brighton and Hove	85.00
Bristol	81.73
Broxtowe	75.02
Bury	77.26
Cambridge	103.75
Camden	122.33
Cannock Chase	76.21
Canterbury	89.02
Castle Point	89.11
Central Bedfordshire	102.73
Charnwood	74.97
Cheltenham	80.98
Cheshire West and Chester	83.10
Chesterfield	80.30
City of London	107.14
City of York	79.95
Colchester	88.24
Corby	79.46
Cornwall	71.60
Crawley	104.01
Croydon	106.91
Dacorum	109.31
Darlington	71.41
Dartford	90.72
Derby	79.36
Doncaster	73.82
Dover	84.93
Dudley	83.42
Ealing	102.38
East Devon	82.35
East Riding of Yorkshire	79.92
Eastbourne	80.19
Enfield	102.07
Epping Forest	100.18
Exeter	75.86
Fareham	91.74
Gateshead	77.05
Gosport	84.48
Gravesham	90.35
Great Yarmouth	75.49
Greenwich	104.07
Guildford	111.58
Hackney	101.74
Hammersmith and Fulham	116.96
Haringey	107.17
Harlow	92.92
Harrogate	81.31
Harrow	114.72
Havering	101.64
High Peak	97.30
Hillingdon	73.79
Hinckley and Bosworth	110.12
Hounslow	79.19
Ipswich	103.52
Islington	82.91
Kensington and Chelsea	121.51
Kettering	129.15
Kingston upon Hull	82.14
Kingston upon Thames	75.77
Kirklees	113.11
Lambeth	70.39
Lancaster	109.89
Leeds	77.93
Leicester	72.52
Lewes	90.24
Lewisham	97.23
Lincoln	69.37
Luton	87.41
Manchester	74.29
Mansfield	73.78
Medway Towns	82.70
Melton	77.88
Mid Devon	79.31
Mid Suffolk	83.14
Milton Keynes	86.52
New Forest	100.20
Newark and Sherwood	78.78
Newcastle upon Tyne	75.82
Newham	98.07
North East Derbyshire	82.07
North Kesteven	77.37
North Tyneside	77.32
North Warwickshire	88.68
North West Leicestershire	79.73
Northampton	83.94
Northumberland	68.96
Norwich	80.04
Nottingham	75.67
Nuneaton and Bedworth	78.89
Oadby and Wigston	80.01
Oldham	76.32
Oxford City	109.99
Poole	85.94
Portsmouth	85.81
Reading	105.76
Redbridge	103.67
Redditch	78.80
Richmondshire	78.39
Rotherham	76.56
Rugby	87.49
Runnymede	111.32
Salford	77.13
Sandwell	82.13
Sedgemoor	78.41
Selby	79.04
Sheffield	72.54
Shepway	84.92
Shropshire	82.31
Slough	107.22
Solihull	83.02
South Cambridgeshire	108.00
South Derbyshire	80.64
South Holland	76.40
South Kesteven	79.50
South Tyneside	75.98
Southampton	85.66
Southend-on-Sea	87.15
Southwark	108.95
St.Albans	114.77
Stevenage	98.81
Stockport	75.39
Stoke-on-Trent	71.11
Stroud	83.25
Sutton	108.03
Swindon	83.66
Tamworth	81.10
Tandridge	99.11
Taunton Deane	83.09
Tendring	84.70
Thanet	81.68
Thurrock	86.76
Tower Hamlets	111.77
Utttlesford	99.15
Waltham Forest	102.92
Wandsworth	126.00
Warwick	94.70
Waveney	80.82
Waverley	115.62
Wealden	85.11
Welwyn Hatfield	109.01
West Lancashire	76.90
Westminster	126.13
Wigan	77.71
Wiltshire	88.96
Winchester	102.19
Woking	105.23
Wokingham	116.34
Wolverhampton	80.53.]

PART 4 E+W+S WALES

Liability to deduction E+W+S

4.   This paragraph applies in the case of an authority in Wales in relation to the relevant year if the authority is specified in the Table in Part 5 of this Schedule for that year and E+W+S

where—

O

is the amount specified in column 1 of that Table for the authority,

P

is the guideline rent increase specified in column 2 of that Table for the authority, and

Q

is the average weekly rent for a dwelling for the authority for the relevant year (see paragraph 2(3)) [F21 and (5)].

Textual Amendments

F21 Words in Sch. 4A para. 4 added (1.4.2008) by Income-related Benefits (Subsidy to Authorities) Amendment (No.2) Order 2008 (S.I. 2008/695) , art. 1(1) , Sch. para. 3

Amount of deduction E+W+S

5.— (1) The amount of the deduction from subsidy referred to in article 20A(2) shall be calculated as follows. E+W+S

• Step 1

  Divide the amount of rebates granted by the authority in the relevant year in respect of dwellings in the by the income of the authority for that year from rent (including rent remitted by way of rebate) in respect of such dwellings.

• Step 2

  If the result of step 1 does not exceed the rebate proportion for the relevant year (see sub-paragraph (2))—

  (a)

  deduct (O + P) from Q (see paragraph 4),

  (b)

  divide the result of paragraph (a) by Q,

  (c)

  multiply the amount of the subsidy (apart from any deduction to be calculated under this Schedule) by the result of paragraph (b).

  If the result of step 1 exceeds the rebate proportion for the relevant year—

  (i)

  deduct (O + P) from Q (see paragraph 4),

  (ii)

  divide the result of paragraph (i) by Q,

  (iii)

  divide the rebate proportion for Wales (see sub-paragraph (2)) by the result of step 1,

  (iv)

  multiply the result of paragraph (ii) by the result of paragraph (iii),

  (v)

  multiply the amount of the subsidy (apart from any deduction to be calculated under this Schedule) by the result of paragraph (iv).

[F22 (2) The rebate proportion for Wales for each relevant year commencing with 2006-07 is 0.66.]

Textual Amendments

F22 Sch. 4A para. 5(2) substituted (1.4.2006) by Income-related Benefits (Subsidy to Authorities) Amendment (No.2) Order 2006 (S.I. 2006/559) , art. 1(1) , Sch. 1 para. 5

[F23 PART 5 E+W+S AMOUNTS FOR PURPOSES OF PART 4, PARAGRAPH 4: AUTHORITIES IN WALES

Textual Amendments

F23 Sch. 4A Pt. 5 substituted (26.10.2017) by The Income-related Benefits (Subsidy to Authorities) Amendment Order 2017 (S.I. 2017/900), art. 3(4), reg. 1

Relevant Year 2017-2018

Local authority	(1) Specified amount “O” (£)	(2) Guideline rent increase “P” (£)
Caerphilly	82.00	4.00
Cardiff	92.41	4.28
Carmarthenshire	81.59	3.97
Denbighshire	79.33	3.95
Flintshire	82.46	4.04
Isle of Anglesey	78.18	4.20
Pembrokeshire	83.06	3.77
Powys	83.45	3.97
Swansea	80.32	4.00
Vale of Glamorgan	89.40	4.20
Wrexham	81.62	4.00.]]