Local Government Finance Act 2012

Section 2

SCHEDULE 2 Amendment of provisions about revenue support grant

1 Chapter 2 of Part 5 of the LGFA 1988 (revenue support grant: England) is amended as follows.

2 (1) Section 78 (revenue support grant) is amended as follows.

(2) For subsection (1) (duty to pay grant) substitute—

“(1) The Secretary of State may pay a grant (to be called revenue support grant) in accordance with this Chapter for a chargeable financial year—

(a) to receiving authorities,

(b) to specified bodies, or

(c) to both.”

(3) In subsection (2) (duty to make determination about revenue support grant for each chargeable financial year), after “year” insert “for which revenue support grant is to be paid”.

(4) In subsection (3) (content of determination)—

(a) after paragraph (a) insert—

“(aa) whether the Secretary of State proposes to pay grant to receiving authorities,”,

(b) at the beginning of paragraph (b) insert “if so,”,

(c) after paragraph (b) (and before the “and” at the end of that paragraph) insert—

“(ba) whether the Secretary of State proposes to pay grant to specified bodies,”, and

(d) at the beginning of paragraph (c) insert “if so,”.

3 (1) Section 78A (local government finance reports) is amended as follows.

(2) For the heading substitute “Requirement to specify determination in local government finance report”.

(3) In subsection (1) (duty to specify determination under section 78 in local government finance report), for the words from “a report” to “report)” substitute “the local government finance report for the year (as to which, see paragraph 5 of Schedule 7B)”.

(4) In subsection (2) (requirement for report to specify basis of distribution of grant to receiving authorities), for “A local government finance report” substitute “If the determination provides for grant to be paid to receiving authorities, the report”.

(5) In subsection (3), for “the report” substitute “a report to which subsection (2) applies”.

(6) Omit subsections (4) and (5) (duty to lay report before House of Commons and to send copies to receiving authorities).

4 (1) Section 79 (effect of report’s approval) is amended as follows.

(2) In subsection (3) (duty to pay amounts specified in determination to receiving authorities and specified bodies)—

(a) for “The Secretary of State” substitute “If the determination provides for grant to be paid to receiving authorities, the Secretary of State”, and

(b) after “section 78(3)(b) above, and” insert “, if the determination provides for grant to be paid to specified bodies, the Secretary of State”.

(3) In subsection (4) (amount to be paid to receiving authorities), for “The amount” substitute “Any amount”.

(4) In subsection (5) (amount to be paid to particular specified body), for “The amount” substitute “Any amount”.

5 (1) Section 82 (calculation of sums payable to receiving authorities by way of revenue support grant) is amended as follows.

(2) Before subsection (1) insert—

“(A1) This section applies if—

(a) in accordance with sections 78 and 78A above a determination as regards revenue support grant has been made for a financial year and specified in a report which has been laid before the House of Commons,

(b) the determination provides for grant to be paid to receiving authorities, and

(c) the report is approved by resolution of the House of Commons.”

(3) In subsection (1) (requirement to calculate sums payable), for the words from “a local government finance report” to “House of Commons” substitute “the report has been approved”.

6 In section 84A(1) (power of Secretary of State to make amending reports after local government finance report made), after “local government finance report” insert “that contains a determination under section 78 above”.