PART 2Rates retention
Amendment of the Non-Domestic Rating (Rates Retention) Regulations 2013
2. The Non-Domestic Rating (Rates Retention) Regulations 2013(1) are amended as follows.
Amendment of regulation 3
3. In regulation 3 (calculation and notification of non-domestic rating income and other amounts)—
(a)after paragraph (1)(d) insert—
“(da)for a billing authority listed in Parts 2 to 6 of Schedule 5, the amount that is its estimate of the amount (if any) specified by paragraph 2 of Schedule 2 for that year;
(db)for a billing authority listed in Parts 2 to 6 of Schedule 5, the amount that is its estimate of the amount (if any) specified by paragraph 3 of Schedule 2 for that year;”; and
(b)after paragraph (2) insert—
“(2A) In relation to the relevant year commencing on 1st April 2017, a billing authority listed in Parts 2 to 6 of Schedule 5 must on or before 30th April 2017 notify the Secretary of State and any relevant precepting authority of the amounts it has calculated under paragraph (1)(da) and (db) for that relevant year.”.
Amendment of regulation 4
4. In regulation 4 (payment to the Secretary of State in respect of the central share), after paragraph (2) insert—
“(3) In relation to a relevant year commencing on or after 1st April 2017, this regulation does not apply to a billing authority listed in Parts 2 to 6 of Schedule 5.”.
Amendment of regulation 5
5. In regulation 5 (payments by billing authorities to major precepting authorities in respect of share of income)—
(a)in paragraph (3), for “The” substitute “Unless paragraph (3A) applies, the”; and
(b)after paragraph (3) insert—
“(3A) For a relevant year commencing on or after 1st April 2017, the relevant precepting authority shares are—
(a)37% where the relevant precepting authority is the Greater London Authority;
(b)5% where the relevant precepting authority is the West of England Combined Authority(2).”.
Amendment of regulation 6
6. In regulation 6 (payments to major precepting authorities in respect of deductions from central share payments)—
(a)in paragraph (1), for “of qualifying relief specified by paragraph 3 of Schedule 2 (case B hereditaments)” substitute “specified by paragraph 3 of Schedule 2 (case B hereditaments) or paragraph 2(1) of Schedule 2A (special provision for deduction from the central share payment)”; and
(b)in paragraph (2) for “the specified” substitute “each specified”.
Amendment of regulation 11
7. In regulation 11 (reconciliation of amount deducted from central share payment)—
(a)before paragraph (1) insert—
“(A1) This regulation applies in relation to a relevant year if a billing authority deducts an amount under regulation 4(1) from its central share payment for that year.”;
(b)in paragraph (3), for “For” substitute “Unless paragraph (4) applies, for”; and
(c)after paragraph (3) insert—
“(4) In relation to a relevant year commencing on or after 1st April 2017, the percentage shares are—
(a)44.8% where the billing authority is listed in Part 1 of Schedule 5; and
(b)55.2% where the relevant precepting authority is the Greater London Authority.”.
Amendment of Schedule 2A
8. In paragraph 1 of Schedule 2A (special provision for deduction from the central share payment)(3)—
(a)in sub-paragraph (1), for “This” substitute “Subject to sub-paragraph (1A), this”; and
(b)after sub-paragraph (1) insert—
“(1A) This Schedule does not apply to a billing authority listed in Part 2 of Schedule 5 for a relevant year beginning on or after 1st April 2017.”.
Amendment of Schedule 3
9. In the definition of “Q” in Schedule 3 (transfer from collection fund to general fund)—
(a)in paragraph (a), for “50%” substitute “unless paragraph (e) applies, 50%”;
(b)in paragraph (b), for “49%” substitute “unless paragraph (e) applies, 49%”;
(c)in paragraph (c), for “40%” substitute “unless paragraph (e) applies, 40%”;
(d)in paragraph (d), for “30%” substitute “unless paragraph (e) applies, 30%”; and
(e)after paragraph (d) insert—
“(e)for a relevant year beginning on or after 1st April 2017—
(i)for a billing authority listed in Parts 2 to 4 of Schedule 5, 99%;
(ii)for a billing authority listed in Part 5 of Schedule 5, 94%;
(iii)for a billing authority listed in Part 6 of Schedule 5, 100%;”.
Amendment of Schedule 4
10.—(1) In Schedule 4 (rules for estimation and apportionment of surplus and deficit), paragraph 2 is amended as follows.
(2) In sub-paragraph (1), for “The” substitute “Unless sub-paragraph (1A), (1B), (1C) or (1D) applies, the”.
(3) After sub-paragraph (1) insert—
“(1A) For the relevant year beginning on 1st April 2018, the Secretary of State’s share of any surplus or of any deficit estimated for that year under paragraph 1 by a billing authority listed in Part 1 of Schedule 5 is calculated in accordance with the formula—
(1B) For the relevant year beginning on 1st April 2018, the Secretary of State’s share of any surplus or of any deficit estimated for that year under paragraph 1 by a billing authority listed in Parts 2 to 6 of Schedule 5 is calculated in accordance with the formula—
(1C) For a relevant year beginning on or after 1st April 2019, the Secretary of State’s share of any surplus or of any deficit estimated for that year under paragraph 1 by a billing authority listed in Part 1 of Schedule 5 is 33%.
(1D) For a relevant year beginning on or after 1st April 2019, the Secretary of State’s share of any surplus or of any deficit estimated for that year under paragraph 1 by a billing authority listed in Parts 2 to 6 of Schedule 5 is zero.”.
(4) In sub-paragraph (2)—
(a)for “A relevant” substitute “Unless sub-paragraph (2A) or (2B) applies, a relevant”; and
(b)after “regulation 5(3)” insert “or (3A)”.
(5) After sub-paragraph (2) insert—
“(2A) Where the relevant precepting authority is the Greater London Authority, its share of any surplus or of any deficit—
(a)for the relevant year beginning on 1st April 2017, is 20%;
(b)for the relevant year beginning on 1st April 2018, is calculated in accordance with the formula—
(2B) Where the relevant precepting authority is the West of England Combined Authority, its share of any surplus or of any deficit—
(a)for the relevant year beginning on 1st April 2017, is zero;
(b)for the relevant year beginning on 1st April 2018, is calculated in accordance with the formula—
(6) In sub-paragraph (3), for “The” substitute “Unless any of the following sub-paragraphs applies, the”.
(7) After sub-paragraph (3) insert—
“(4) For the relevant year beginning on 1st April 2018, for a billing authority listed in Parts 2 to 4 of Schedule 5, the billing authority’s share of any surplus or of any deficit for that year is calculated in accordance with the formula—
(5) For the relevant year beginning on 1st April 2018, for a billing authority listed in Part 5 of Schedule 5, the billing authority’s share of any surplus or of any deficit for that year is calculated in accordance with the formula—
(6) For the relevant year beginning on 1st April 2018, for a billing authority listed in Part 6 of Schedule 5, the billing authority’s share of any surplus or of any deficit for that year is calculated in accordance with the formula—
(7) For a relevant year beginning on or after 1st April 2019, the billing authority’s share of any surplus or of any deficit for that year is—
(a)for a billing authority listed in Parts 2 to 4 of Schedule 5, 99%;
(b)for a billing authority listed in Part 5 of Schedule 5, 94%;
(c)for a billing authority listed in Part 6 of Schedule 5, 100%.
(8) In this paragraph—
A is the surplus or deficit estimated for the relevant year beginning on 1st April 2018;
B is the amount mentioned in paragraph 1(3)(a);
C is the amount mentioned in paragraph 1(3)(e);
D is the amount mentioned in paragraph 1(4)(a);
E is the amount mentioned in paragraph 1(4)(g).”.
Insertion of Schedule 5
11. After Schedule 4 insert Schedule 5 which is set out in Schedule 1 to these Regulations.
S.I. 2013/452; amended by S.I. 2014/96, 2015/628 and 2016/1268.
The West of England Combined Authority was established under article 3 of the West of England Combined Authority Order 2017 (S.I. 2017/126).
Schedule 2A was inserted by S.I. 2016/1268.