The Non-Domestic Rating (Rates Retention) (Amendment) Regulations 2016

Explanatory note

Reproduced verbatim from the instrument as published on legislation.gov.uk (Crown Copyright, Open Government Licence v3.0). The note is prepared by the responsible government department and is not part of the instrument itself.

Under paragraph 6 of Schedule 7B to the Local Government Finance Act 1988 ( 1988 c. 41 ) (local retention of non-domestic rates), billing authorities are required to pay a proportion of their non-domestic rating income to the Secretary of State (“the central share payment”). The percentage determined by the Secretary of State under paragraph 4 of Schedule 7B to be a billing authority’s central share for a year is specified in the Local Government Finance Report for that year laid before the House of Commons under paragraph 5 of that Schedule.

These Regulations amend the Non-Domestic Rating (Rates Retention) Regulations 2013 ( S.I. 2013/452 ) (“the 2013 Regulations”) to provide for deductions from central share payments by specified billing authorities in Greater Manchester, Cambridgeshire, Cheshire and North Somerset (“specified billing authorities”).

Regulations 4, 5 and 7 amend the 2013 Regulations in relation to the administration of the deduction from the central share payment and end of year calculations and reconciliation.

Regulation 6 inserts regulation 9A to make special provision for additional end of year calculations by specified billing authorities in respect of the year beginning on 1st April 2015.

Regulation 8 inserts regulations 11A and 11B to make special provision for end of year payments by specified billing authorities in respect of the years beginning on 1st April 2015 and 1st April 2016.

Regulation 9 updates references in Schedule 2.

Regulation 10 inserts Schedules 2A and 2B into the 2013 Regulations to provide for the calculation of the amount to be deducted.

Regulation 11 amends Schedule 4 to specify the percentage share of any surplus or deficit for the Council of the Isles of Scilly.

An impact assessment has not been produced for this instrument because it amends an existing local tax regime. Publication of a full impact assessment is not necessary for such legislation.