The Non-Domestic Rating (Rates Retention, Levy and Safety Net and Levy Account: Basis of Distribution) (Amendment) Regulations 2020

• Citation: S.I. 2020/1357
• Sections: 8

Section 1 Citation and commencement

(1) These Regulations may be cited as the Non-Domestic Rating (Rates Retention, Levy and Safety Net and Levy Account: Basis of Distribution) (Amendment) Regulations 2020.

(2) These Regulations come into force on the day after the day on which they are made.

(3) The amendments in regulation 3 have effect in relation to calculations for the financial year beginning with 1st April 2020 and subsequent financial years.

Section 2 Amendment of the Non-Domestic Rating (Rates Retention) Regulations 2013

The Non-Domestic Rating (Rates Retention) Regulations 2013 are amended in accordance with regulations 3 and 4.

Section 3 Amendment of the Non-Domestic Rating (Rates Retention) Regulations 2013

In Schedule 1 (non-domestic rating income), in the table in Part 2 (cost factors)—

(a) for the row containing the entry for “Buckinghamshire non-fringe” substitute—

(b) for the row containing the entry for “Hertfordshire and Buckinghamshire fringe” substitute—

(c) after the row containing the entry for “Merseyside” insert—

Section 4 Amendment of the Non-Domestic Rating (Rates Retention) Regulations 2013

In Schedule 4 (rules for estimation and apportionment of surplus and deficit), in paragraph 2(8), after paragraph (j) in the definition of L insert—

(k) 0% for a billing authority listed in Part 39 of Schedule 5;

Section 5 Amendment of the Non-Domestic Rating (Levy and Safety Net) Regulations 2013

The Non-Domestic Rating (Levy and Safety Net) Regulations 2013 are amended in accordance with regulations 6 and 7.

Section 6 Amendment of the Non-Domestic Rating (Levy and Safety Net) Regulations 2013

In regulation 6 (individual levy rates and safety net thresholds)—

(a) in paragraph (2A), after “(2D),” insert “(2DA),”;

(b) after paragraph (2D) insert—

(2DA) For an authority listed in Parts 9 and 20 to 34 of Schedule 3, and a pool of authorities named in those Parts, the individual levy rate for a relevant year beginning on 1st April 2019 is zero.

(c) in paragraph (2E), omit sub-paragraph (b) (together with “or” at the end of sub-paragraph (a)).

Section 7 Amendment of the Non-Domestic Rating (Levy and Safety Net) Regulations 2013

(1) Schedule 1 (calculation of retained rates income) is amended as follows.

(2) In paragraph 1(1)—

(a) for the first formula substitute—

(b) in the definition of P—

(i) in paragraph (a), for “or (d)” substitute “, (d) or (e)”;

(ii) in paragraph (d), after “Parts” insert “2 to 9 or”;

(iii) after paragraph (d) insert—

(e) where the billing authority is listed in Parts 2 to 8 of Schedule 3, for the relevant year beginning on 1st April 2020, the amount calculated for that authority in accordance with the formula—

where—

A is the amount specified for that authority in column E of Schedule 4;

B is the small business non-domestic rating multiplier in relation to the year beginning on 1st April 2020; and

C is the small business non-domestic rating multiplier in relation to the year beginning on 1st April 2018;

(c) in the definition of Q—

(i) in paragraph (a), for “or (d)” substitute “, (d) or (e)”;

(ii) in paragraph (d), after “Parts” insert “2 to 9 or”;

(iii) after paragraph (d) insert—

(e) where the billing authority is listed in Parts 2 to 8 of Schedule 3, for the relevant year beginning on 1st April 2020, the amount calculated for that authority in accordance with the formula—

where—

A is the amount specified for that authority in column F of Schedule 4;

B is the small business non-domestic rating multiplier in relation to the year beginning on 1st April 2020; and

C is the small business non-domestic rating multiplier in relation to the year beginning on 1st April 2018;

(d) after the definition of “T” omit “and” and insert—

U is the amount calculated in accordance with sub-paragraph (4C) in respect of a relevant year; and

(3) In paragraph 1(4B)—

(a) in paragraph (b), after “paragraph (c)” insert “or (d)”;

(b) after paragraph (c), insert—

(d) for Buckinghamshire Council, for a relevant year beginning on or after 1st April 2020, 71.6%.

(4) After paragraph 1(4B) insert—

(4C) The amount calculated in accordance with this sub-paragraph is the amount which is the difference between—

(a)

(i) the total of the amounts credited to the billing authority’s collection fund income and expenditure account in the relevant year in accordance with proper practices in respect of non-domestic rates payable under sections 43 and 45 of the 1988 Act in respect of—

(aa) a day in that year, and

(bb) a day in a previous year where the amount was not credited in a previous year; less

(ii) the total of the amounts charged to the billing authority’s collection fund income and expenditure account in the relevant year in accordance with proper practices in respect of non-domestic rates payable under sections 43 and 45 of the 1988 Act in respect of —

(aa) a day in that year, and

(bb) a day in a previous year where the amount was not charged in a previous year; and

(b) the amount that would have been calculated under paragraph (a) if section 43(4E) were omitted.

(5) In paragraph 2—

(a) for the first formula substitute—

(b) in the definition of P, in paragraph (d), for “21” substitute “9 and 20”;

(c) in the definition of Q, in paragraph (d), for “21” substitute “9 and 20”;

(d) after the definition of “U” omit “and” and insert—

“V is the sum of the amounts calculated in accordance with paragraph 1(4C) for each of the billing authorities that is required to make payments to the major precepting authority for the relevant year under Part 4 of Schedule 7B to the 1988 Act; and”.

Section 8 Amendment of the Non-Domestic Rating (Rates Retention and Levy and Safety Net) (Amendment) and (Levy Account: Basis of Distribution) Regulations 2019

(1) The table in Schedule 5 to the Non-Domestic Rating (Rates Retention and Levy and Safety Net) (Amendment) and (Levy Account: Basis of Distribution) Regulations 2019 (table of authorities, values for B and C) is amended as follows.

(2) In column B of the entry for—

(a) Bournemouth, Christchurch and Poole, for “£72,103,248” substitute “£71,492,000”;

(b) Dorset, for “£58,171,978” substitute “£58,783,000”.