Rate Support Grants Act 1986

1 Validation of approved block grant determinations.

The enactments relating to determinations under section 59 of the [1980 c. 65.] Local Government, Planning and Land Act 1980 (adjustment of block grant by use of multipliers) shall be deemed to have been complied with in the case of all determinations made or purporting to be made under that section and specified in Rate Support Grant Reports or supplementary reports approved by the House of Commons on or before 21st January 1986.

2 Adjustment of block grant to limit effects of changes.

(1) As respects determinations made under section 59 of the said Act of 1980 after the passing of this Act the following provisions shall have effect instead of subsection (6)(a) of that section and section 8(3)(a) of the [1982 c. 32.] Local Government Finance Act 1982.

(2) The power conferred by section 59(1) may be exercised for title purpose of limiting or avoiding the effect on—

(a) the amount of block grant payable to a local authority for any year; or

(b) the contribution made or to be made by ratepayers in any year to the expenditure of the local authorities exercising functions in their area, of any difference or differences between that year and the previous year in any of the matters relevant to the calculation of block grant.

(3) The power may be exercised for the purpose mentioned in subsection (2) above in respect of such difference or differences and, in the case of a limitation, to such extent as the Secretary of State thinks desirable ; but he shall not exercise the power for that purpose so as to decrease the amount of block grant payable to a local authority for any year unless he is satisfied that it is necessary to do so in order to prevent the difference in question having an unreasonable effect on the way in which block grant for that year is distributed or on the contribution made or to be made by ratepayers in that year to the expenditure of local authorities.

(4) Where the Secretary of State decides to exercise the power for the purpose mentioned in subsection (2) above in respect of any difference, the effect that the difference would have had shall be calculated, and any limit imposed by him shall be determined, in such manner as he thinks appropriate.

3 Other rate support grant amendments.

(1) Part VI of the [1980 c. 65.] Local Government, Planning and Land Act 1980 and Part II of and Schedule 2 to the [1982 c. 32.] Local Government Finance Act 1982 shall have effect with the amendments specified in Schedule 1 to this Act, being amendments for clarifying and amending the provisions relating to rate support grants and amendments consequential on section 2 above.

(2) Those amendments shall have effect in relation to any exercise after the passing of this Act of the powers conferred by those provisions in relation to any year beginning on or after 1st April 1982 except that the amendments in paragraphs 1, 2, 3, 8,9, 11 and 12 shall be deemed always to have had effect.

4 Short title, interpretation, repeals, and extent.

(1) This Act may be cited as the Rate Support Grants Act 1986.

(2) In sections 1 and 2 above references to section 59 of the said Act of 1980 include references to paragraph 5(1) of Schedule 2 to the [1982 c. 32.] Local Government Finance Act 1982 (which makes corresponding provision for the Receiver for the Metropolitan Police District) and in section 2 above " local authority " means any body (including the Receiver) which is a local authority for the purposes of Part VI of the said Act 1980 and " year " has the same meaning as in that Part.

(3) The enactments mentioned in Schedule 2 to this Act are hereby repealed to the extent specified in the third column of that Schedule.

(4) This Act extends to England and Wales only.