The Local Government (Structural Changes) (Finance) (Amendment) Regulations 2012

Made: 6th January 2012

Laid before Parliament: 10th January 2012

Coming into force: 25th January 2012

The Secretary of State, in exercise of the powers conferred by sections 14 and 240(10) of the Local Government and Public Involvement in Health Act 2007[^f00001], makes the following Regulations:

Citation and commencement

1

• (1) These Regulations may be cited as the Local Government (Structural Changes) (Finance) (Amendment) Regulations 2012.

• (2) These Regulations come into force on 25th January 2012.

Amendment of the Local Government (Structural Changes) (Finance) Regulations 2008

2

The Local Government (Structural Changes) (Finance) Regulations 2008[^f00002] are amended as follows.

Regulation 3

3

In regulation 3 (responsibility for functions exercised by a shadow council), for paragraph (3)(a) substitute—

(a) any of sections 31A, 31B[^f00003], 34 to 36A[^f00004] and 52ZF[^f00005] of the 1992 Act,

Regulation 4

4

In regulation 4 (responsibility for functions exercised by a preparing council), for paragraph (3)(a) substitute—

(a) any of sections 31A, 31B, 34 to 36A and 52ZF of the 1992 Act,

Regulation 12

5

In regulation 12(1) (interpretation)—

• (a) in the definition of “preceding year council tax” for “section 33(1) (basic amount of council tax)” substitute “section 31B(1) (calculation of basic amount of tax by authorities in England)”;

• (b) in the definition of “uniform amount of council tax”, for “33(1)” substitute “31B(1)”; and

• (c) in paragraph (3), for “11 to 13” substitute “8 to 10”.

Regulation 15

6

In regulation 15 (different basic amounts of council tax for the predecessor areas)—

• (a) in paragraph (2)(a), for “32 to 36” substitute “31A, 31B and 34 to 36”; and

• (b) in paragraph (6)(a), before “the” insert “Chapters 3 (setting of council tax) and 6 (miscellaneous and supplemental) of Part 1 of”.

New regulation 15A

7

After regulation 15 insert—

(15A) (1) In relation to the first year and a reorganised area, Chapters 4ZA (referendums relating to council tax increases) and 6 of Part 1 of the 1992 Act[^f00006] shall have effect with the modifications specified in Part 1 of Schedule 3 to these Regulations. (2) In relation to each of the second, the third, the fourth and the fifth years and a reorganised area, Chapters 4ZA and 6 of Part 1 of the 1992 Act shall have effect with the modifications specified in Part 2 of Schedule 3 to these Regulations if an appropriate authority made a determination under regulation 15(1) for the financial year preceding that year. (3) In relation to the sixth year and a reorganised area, Chapter 4ZA of Part 1 of the 1992 Act shall have effect with the modifications specified in Part 3 of Schedule 3 to these Regulations if the authority made a determination under regulation 15(1) for the fifth year.

Regulation 16

8

In regulation 16 (limitation on council tax requirement), in the definition of item T for “33(1)” substitute “31B(1)”.

Schedule 1

9

In Schedule 1 (procedure for exercise by preparing councils of certain functions relating to council tax)—

• (a) omit paragraph 1(3); and

• (b) in paragraph 2 (interpretation) in the definition of “relevant provisions”, for “32 to 37” substitute “31A, 31B, 34 to 36A and 52ZF”.

Schedule 2

10

For Schedule 2 substitute the Schedule in Schedule 1 to these Regulations.

New Schedule 3

11

After Schedule 2 insert the Schedule in Schedule 2 to these Regulations.

SCHEDULE 1

SCHEDULE 2

Signed

Signed by authority of the Secretary of State for Communities and Local Government

Bob Neill — Parliamentary Under Secretary of State — Department for Communities and Local Government — 6th January 2012

Explanatory note

(This note is not part of the Regulations)

EXPLANATORY NOTE

These Regulations amend the Local Government (Structural Changes) (Finance) Regulations 2008 (“the 2008 Regulations”).

The 2008 Regulations make incidental, consequential, transitional and supplementary provision of general application in relation to the exercise of functions by authorities under the Local Government Finance Act 1988 and the Local Government Finance Act 1992 (“the 1992 Act”) for the purposes of, and in consequence of, orders made by the Secretary of State under section 7 (implementation of proposals by order) of the Local Government and Public Involvement in Health Act 2007 (c.28) (“the 2007 Act”). In particular, where structural change occurs under the 2007 Act, for a transitional period an authority is able to calculate its council tax under Part 4 (equalisation of council tax) of the 2008 Regulations in order to equalise more equitably the council tax which is paid in its area.

The Localism Act 2011 (“the 2011 Act”) makes amendments to the 1992 Act and, in particular, to Chapter 3 (setting of council tax) of Part 1 (council tax: England and Wales) of the 1992 Act and the provisions by which a billing authority in England calculates its council tax. Regulations 3 to 6 and 8 to 10 of, and Schedule 1 to, these Regulations make amendments to the 2008 Regulations which are consequential to the changes made to the 1992 Act by the 2011 Act.

The 2011 Act also inserts a new Chapter 4ZA (referendums relating to council tax increases) into Part 1 of the 1992 Act. Regulations 7 and 11 of, and Schedule 2 to, these Regulations modify Chapters 4ZA and 6 in relation to financial years where an authority has power to calculate its council tax under Part 4 of the 2008 Regulations. These modifications are required to ensure that Chapter 4ZA of Part 1 of the 1992 Act operates appropriately whether an authority sets its council tax under Part 4 of the 2008 Regulations, or Chapter 3 of Part 1 of the 1992 Act.

A full impact assessment has not been produced for these Regulations as no impact on the private or voluntary sectors is foreseen.

Footnotes

[^f00001]: 2007 c.28. Section 14(2) provides for subsection (1) to be read with section 15.

[^f00002]: S.I. 2008/3022.

[^f00003]: Sections 31A and 31B were inserted into the Local Government Finance Act 1992 (c.14) by section 74 of the Localism Act 2011 (c.20).

[^f00004]: Section 36A was inserted into the Local Government Finance Act 1992 by paragraph 15 of Schedule 7 to the Localism Act 2011.

[^f00005]: Section 52ZF was inserted into the Local Government Finance Act 1992 by Schedule 5 to the Localism Act 2011.

[^f00006]: Chapter 4ZA was inserted into Part 1 of the Local Government Finance Act 1992 by Schedule 5 to the Localism Act 2011.

[^f00007]: Section 30 of the Local Government Finance Act 1992 was amended by paragraph 8 of Schedule 7 to the Localism Act 2011.

[^f00008]: Section 66(2)(c) was amended by paragraph 6 of Schedule 1 to the Local Government Act 1999 (c.27) and by paragraph 29 of Schedule 7 to the Localism Act 2011.

[^f00009]: Section 67(2A) was inserted by section 84 of the Local Government Act 2003 (c.26) and amended by paragraph 30(3) of Schedule 7 to the Localism Act 2011.

[^f00010]: S.I. 1992/612, to which there are amendments not relevant to these Regulations.

[^f00011]: S.I. 1992/2904, to which there are amendments not relevant to these Regulations.