The Local Government Changes for England (Payments to Designated Authorities) (Minimum Revenue Provision) Regulations 1995

PART III COMPONENT IN RESPECT OF INTEREST

5.  The amount of the component in respect of interest for the current year shall be the aggregate of—

(a) where the amount which the designated authority is, or would be, required to set aside as mentioned in regulation 4(1) includes or, as the case may be, would include one or more amounts determined as mentioned in regulation 4(2)(a), the amount or amounts calculated in accordance with the formula—

(b) where one or more of the amounts mentioned in regulation 4(2)(b) is a positive amount, the amount or amounts calculated in accordance with the formula—

where—

• G, H and J have the same meaning as in paragraph 2 above

• L is, as the case may be—

  (i)

  an amount equal to the total of any amounts determined by the designated authority for the current year and for subsequent financial years for the purposes of sub-paragraph (b) of paragraph (1) of regulation 26 of the 1990 Regulations in respect of any relevant housing advances or, as the case may be, non-housing advances; or

  (ii)

  an amount equal to the total of any amounts determined by the designated authority for the current year and for subsequent financial years for the purposes of sub-paragraph (c) of paragraph (1) of regulation 26 of the 1990 Regulations in respect of any relevant housing SCAs or, as the case may be, relevant non-housing SCAs;

• M is, as the case may be—

  (i)

  where item L is an amount determined in respect of relevant housing advances or, as the case may be, relevant housing SCAs, the housing proportion; or

  (ii)

  where item L is an amount in respect of relevant non-housing advances or, as the case may be, relevant non-housing SCAs, the non-housing proportion;

• N is an amount equal to one-half of so much of the amount payable by the participant authority in accordance with regulation 6 as the component in respect of principal for the current year as that authority and the designated authority agree to be attributable to, as the case may be—

  (i)

  relevant housing advances or non-housing advances; or

  (ii)

  relevant housing SCAs or non-housing SCAs;

  or, in default of such agreement, as the designated authority determines to be so attributable;

• P is such percentage as the designated authority and the participant authority agree in respect of rates of interest payable by the designated authority for the current year on money borrowed by that authority or, in default of such agreement, as the designated authority determines to be equivalent to the average of the rates of interest which are so payable; and, for this purpose, money borrowed by an abolished authority in respect of which liabilities are vested in the designated authority by virtue of regulation 6(8) of the Property Transfer Regulations shall be treated as money borrowed by that authority; and

• Q is an amount equal to one-half of so much of the amount payable by the participant authority in accordance with regulation 6 as the component in respect of principal for the current year as that authority and the designated authority agree to be attributable to, as the case may be—

  (i)

  the modified housing amount; or

  (ii)

  the modified non-housing amount; or

  (iii)

  the modified relevant amount;

  or, in default of such agreement, as the designated authority determines to be so attributable.