The British Gas plc (Rateable Values) Order 1989

• Citation: S.I. 1989/2471
• Sections: 11

Section 1 Citation and commencement

This Order may be cited as the British Gas plc (Rateable Values) Order 1989 and shall come into force on the day after the day on which it is made.

Section 2 Interpretation

In this Order—

“ the Act ” means the Local Government Finance Act 1988;

“British Gas” means the company registered at the date of this Order by the name of British Gas plc;

“gas hereditaments” means non-domestic hereditaments occupied (or, if unoccupied, owned) by British Gas and required by virtue of Part 3 of the Schedule to the Central Rating Lists Regulations 1989 to be shown in a central non-domestic rating list; and “English gas hereditaments” means such hereditaments so required to be shown in the central rating list for England, and “Welsh gas hereditaments” means such hereditaments so required to be shown in the central rating list for Wales;

“relevant pipe-line” means any pipe-line occupied (or, if unoccupied, owned) by British Gas and having a design operating pressure exceeding 7 bars;

“relevant year” means a year for which a rateable value falls to be determined in accordance with this Order, and “relevant preceding year” means the year preceding a relevant year;

“the standard formula” means the formula

where—

T in relation to English gas hereditaments is £504,300,000 and in relation to Welsh gas hereditaments is £31,700,000, and

U is the recalculation factor determined under Part IV in respect of each class of hereditaments respectively for the relevant year;

“year” means a chargeable financial year.

Section 3 Rounding of numbers

Where (apart from this article) any rateable value determined under this Order would include a fraction of a pound—

(a) the fraction shall be made up to one pound if it would exceed 50p, and

(b) the fraction shall be ignored if it would be 50p or less.

Section 4 Disapplication of normal basis of valuation

In the case of gas hereditaments, paragraphs 2 to 2B of Schedule 6 to the Act shall not apply, and the rateable values of such hereditaments shall be as specified in, or determined under the rules in, the following provisions of this Order.

Section 5 Rateable values

(1) In the year beginning on 1st April 1990 the rateable value of English gas hereditaments shall be £504,300,000.

(2) In each subsequent year the rateable value of English gas hereditaments shall be the amount produced by a calculation in respect of that year in accordance with the standard formula.

Section 6 Interpretation

In this Part—

(a) in any formula—

B is the figure applicable in relation to the relevant year for the purposes of paragraph 5(3) of Schedule 7 to the Act;

C is the figure applicable in relation to the relevant year for the purposes of paragraph 5(4) of Schedule 7 to the Act;

I is the figure for the retail prices index for September in the relevant preceding year;

R is the recalculation factor applicable to Welsh gas hereditaments determined under Part IV in respect of the relevant preceding year;

RV is the rateable value of those hereditaments in the relevant preceding year; and

U is the recalculation factor applicable to those hereditaments determined in accordance with Part IV in respect of the relevant year; and

(b) “intermediate year” means any year beginning on or after 1st April 1991 and ending no later than the end of the year in which the rateable value of Welsh gas hereditaments first falls by virtue of article 8 or 9 to be determined in accordance with the standard formula.

Section 7 Rateable value in 1990/1

In the year beginning on 1st April 1990 the rateable value of Welsh gas hereditaments is the amount determined in accordance with the formula—

where

M is the non-domestic rating multiplier applicable to those hereditaments in pursuance of paragraph 2 of Schedule 7 to the Act.

Section 8 Rateable value in 1991/2

(1) In respect of the year beginning on 1st April 1991, where a calculation in respect of Welsh gas hereditaments in accordance with formula 1, that is to say—

produces an amount less than that produced by a calculation in respect of that year in accordance with the standard formula, the rateable value of those hereditaments in that year shall be determined by a calculation in accordance with formula 1.

(2) Where the calculation under paragraph (1) in accordance with formula 1 produces an amount equal to or greater than that produced by the calculation under that paragraph in accordance with the standard formula, the rateable value of those hereditaments in the year in respect of which that calculation was made shall be determined in accordance with the standard formula.

Section 9 Rateable value in 1992/3 and subsequent intermediate years

Where—

(a) in respect of the year beginning on 1st April 1991 the rateable value of Welsh gas hereditaments has been determined in accordance with article 8(1), and

(b) in respect of a subsequent intermediate year a calculation in respect of those hereditaments according to formula 2, that is to say—

produces an amount less than that produced by a calculation in accordance with the standard formula,

the rateable value of those hereditaments in that year shall be the amount calculated in accordance with formula 2; and in any other case it shall be the amount calculated in accordance with the standard formula.

Section 10 Rateable values in post-intermediate years

In respect of any year beginning after an intermediate year, the rateable value of Welsh gas hereditaments shall be the amount produced by a calculation in respect of that year in accordance with the standard formula.

Section 11 Recalculation factor

The recalculation factor in relation to English gas hereditaments or Welsh gas hereditaments in respect of any relevant year is the amount produced by calculating in accordance with the formula—

where—

T has the value attributed for that class of hereditaments by article 2;

Y is the estimated length of relevant pipe-line in the country in question on 31st March 1990; and

y is the estimated length of relevant pipe-line in the country in question on 31st March in the relevant preceding year.