Local Government Act 2003

1 In Part 5 of the Local Government Finance Act 1988 (c. 41) (grants), after section 84C there is inserted—

“Chapter 3 Revenue support grant: wales

84D Application of Chapter 3

This Chapter applies only in relation to Wales.

84E Revenue support grant: Wales

(1) The National Assembly for Wales shall pay a grant for each financial year to—

(a) receiving authorities, and

(b) specified bodies.

(2) Grant under this section shall be known as revenue support grant.

(3) Revenue support grant shall be payable in accordance with this Chapter.

84F Determination of grant

(1) The National Assembly for Wales shall for each financial year make—

(a) a determination under subsection (2), or

(b) a determination under each of subsections (3) and (4).

(2) A determination under this subsection shall state—

(a) the total amount of revenue support grant for the year,

(b) the amount of the grant the Assembly proposes to pay to receiving authorities, and

(c) the amount of the grant the Assembly proposes to pay to each specified body.

(3) A determination under this subsection shall state—

(a) the total amount of revenue support grant for the year for—

(i) receiving authorities other than police authorities, and

(ii) specified bodies,

(b) the amount of the grant the Assembly proposes to pay to receiving authorities that are not police authorities, and

(c) the amount of the grant the Assembly proposes to pay to each specified body.

(4) A determination under this subsection shall state the total amount of revenue support grant for the year for police authorities.

(5) Before making a determination under this section, the Assembly shall consult such representatives of local government as appear to it to be appropriate.

(6) Different amounts may be stated under subsection (2)(c) or (3)(c) in relation to different specified bodies.

(7) In this section “police authority” means a police authority established under section 3 of the Police Act 1996.

84G Local government finance reports

(1) The National Assembly for Wales shall specify a determination under section 84F in a report, to be called a local government finance report.

(2) A local government finance report shall also specify the basis on which the Assembly proposes to distribute among the receiving authorities to which the report relates the amount stated under section 84F(2)(b) or, as the case may be, section 84F(3)(b) or (4).

(3) Before making a report under this section, the Assembly shall notify the general nature of the basis of distribution proposed to be specified in the report to such representatives of local government as appear to it to be appropriate.

(4) A report made under this section shall be published by the Assembly.

(5) As soon as is reasonably practicable after a report is published under subsection (4), the Assembly shall send a copy of the report to each of the receiving authorities to which the report relates.

84H Effect of publication of local government finance report

(1) This section applies where the National Assembly for Wales publishes a local government finance report.

(2) The Assembly shall pay revenue support grant for the year to which the report relates in accordance with the determination specified in the report.

(3) The amount of revenue support grant to be paid to receiving authorities in accordance with subsection (2) shall be distributed among, and paid to, them in accordance with sections 84J and 84K.

(4) The amount of revenue support grant to be paid to a specified body in accordance with subsection (2) shall be paid at such time, or in instalments of such amounts and at such times, as the Assembly may determine.

(5) The time of payment under subsection (4) may be during or after the financial year for which the grant is payable.

84J Calculation of grant payable to receiving authorities

(1) This section applies where the National Assembly for Wales publishes a local government finance report.

(2) As soon as is reasonably practicable after the report has been published, the Assembly shall calculate in relation to each receiving authority to which the report relates what sum, if any, falls to be paid to the authority by way of revenue support grant for the year to which the report relates.

(3) The calculation under subsection (2) shall be in accordance with the basis of distribution specified in the report.

(4) The Assembly may carry out the subsection (2) calculation again at any time before the end of the financial year immediately following the one to which the report relates.

(5) The power under subsection (4) may only be exercised once and ceases to be exercisable if the Assembly publishes under section 84L a report amending the local government finance report.

(6) As soon as is reasonably practicable after making a calculation under subsection (2) or (4), the Assembly shall inform each receiving authority to which the report relates of the outcome, so far as relating to it.

84K Payment of grant to receiving authorities

(1) The National Assembly for Wales shall pay any sum calculated under section 84J(2) as falling to be paid by way of revenue support grant to a receiving authority in instalments of such amounts, and at such times in the financial year for which the grant is payable, as the Assembly may determine.

(2) Where the Assembly makes a calculation under section 84J(4) that shows an increase in the sum that falls to be paid to a receiving authority, the Assembly shall pay the authority a sum equal to the difference.

(3) Payment under subsection (2) shall be at such time, or in instalments of such amounts and at such times, as the Assembly may determine, subject to subsection (4).

(4) The time for payment under subsection (2) must be after the end of the financial year for which the grant is payable.

(5) Where the Assembly makes a calculation under section 84J(4) that shows a decrease in the sum that falls to be paid to a receiving authority, the authority shall pay to the Assembly a sum equal to the difference.

(6) The time for payment under subsection (5) shall be such day after the end of the financial year for which the grant is payable as the Assembly may specify.

84L Amending reports

(1) Where the National Assembly for Wales has published a local government finance report, the Assembly may make a report containing amendments to the basis of distribution specified under section 84G(2) in the published report.

(2) Where the Assembly has published two local government finance reports relating to the same financial year, the power under subsection (1) may (in particular) be exercised by making a single report relating to both of the published reports.

(3) In relation to any particular local government finance report, the power under subsection (1) is exercisable—

(a) at any time before the end of the financial year immediately following the one to which the report relates, but

(b) only once.

(4) Before making a report under this section, the Assembly shall notify to such representatives of local government as appear to it to be appropriate the general nature of the amendments it proposes to make.

(5) A report made under this section shall be published by the Assembly.

(6) As soon as is reasonably practicable after the Assembly publishes under this section a report relating to a local government finance report, the Assembly shall send a copy of the published report to each receiving authority to which the local government finance report relates.

84M Recalculation of grant following amending report

(1) This section applies where the National Assembly for Wales publishes under section 84L a report (“the amending report”) relating to a local government finance report (“the original report”).

(2) As soon as is reasonably practicable after the Assembly publishes the amending report, the Assembly shall calculate in relation to each receiving authority to which the original report relates what sum, if any, falls to be paid to the authority by way of revenue support grant for the financial year to which the original report relates.

(3) The calculation under subsection (2) shall be in accordance with the amended basis of distribution.

(4) The Assembly may carry out the subsection (2) calculation again at any time before—

(a) the end of the financial year immediately following the one to which the original report relates, or

(b) if later, the end of the period of 3 months beginning with the day on which the Assembly publishes the amending report.

(5) The power under subsection (4) may only be exercised once.

(6) As soon as is reasonably practicable after making a calculation under subsection (2) or (4), the Assembly shall inform each receiving authority to which the original report relates of the outcome, so far as relating to it.

84N Payment of grant following amending report

(1) Where the National Assembly for Wales makes a calculation under section 84M(2) or (4) that shows an increase in the sum that falls to be paid to a receiving authority, it shall pay the authority a sum equal to the difference.

(2) Payment under subsection (1) shall be at such time, or in instalments of such amounts and at such times, as the Assembly may determine, subject to subsection (3).

(3) The time for payment under subsection (2) must be after the end of the financial year in which the report under section 84L was made.

(4) Where the Assembly makes a calculation under section 84M(2) or (4) that shows a decrease in the sum that falls to be paid to a receiving authority, the authority shall pay a sum equal to the difference to the Assembly.

(5) The time for payment under subsection (4) shall be such day after the end of the financial year in which the report under section 84L was made as the Assembly may specify.

84P Information deadlines

(1) The National Assembly for Wales may set a deadline for the receipt of information to be taken into account by it when making a calculation under section 84J(2) or (4) or 84M(2) or (4).

(2) Different deadlines may be set under subsection (1) in relation to different kinds of information.

(3) A deadline under subsection (1) shall have effect only if the Assembly informs each receiving authority concerned of the deadline and of the information to which it relates.

(4) Notification under subsection (3) may be given at any time before the making of the calculation to which the deadline relates, including a time before the making of a determination under section 84F for the year concerned.

(5) When making a calculation in relation to which a deadline under subsection (1) has effect, the Assembly shall leave information to which the deadline applies out of account if it is received after the passing of the deadline.”