The Non-Domestic Rating (Multiplier) (Wales) Regulations 2022

Welsh Statutory Instruments

2022 No. 52 (W. 20)

Rating And Valuation, Wales

The Non-Domestic Rating (Multiplier) (Wales) Regulations 2022

Approved by Senedd Cymru

Made

18 January 2022

Laid before Senedd Cymru

20 January 2022

Coming into force in accordance with regulation 1(2)

The Welsh Ministers make these Regulations in exercise of the powers conferred on them by paragraph 5(13A) of Schedule 7 to the Local Government Finance Act 1988(1).

Title, commencement and interpretation

1.—(1) The title of these Regulations is the Non-Domestic Rating (Multiplier) (Wales) Regulations 2022.

(2) These Regulations come into force on the day after the day on which they are approved by a resolution of Senedd Cymru (provided that the approval of these Regulations is given before the approval by Senedd Cymru of the local government finance report for the financial year beginning on 1 April 2022, or before 1 March 2022, whichever is earlier).

(3) In these Regulations, “the 1988 Act” means the Local Government Finance Act 1988.

Change to the non-domestic rating multiplier for the financial year beginning on 1 April 2022

2.  For the financial year beginning on 1 April 2022—

(a) paragraph 5(5A)(a) of Schedule 7 to the 1988 Act does not apply;

(b) for the purpose of paragraph 3B of Schedule 7 to the 1988 Act, B is specified as 109.1.

Rebecca Evans

Minister for Finance and Local Government, one of the Welsh Ministers

18 January 2022

EXPLANATORY NOTE

(This note is not part of the Regulations)

In relation to Wales, the non-domestic rating multiplier is calculated in accordance with paragraph 3B of Schedule 7 to the Local Government Finance Act 1988 (“the 1988 Act”) for each financial year when new rating lists are not being compiled. New rating lists are not being compiled for the financial year beginning on 1 April 2022 (“the year concerned”).

The formula in paragraph 3B of Schedule 7 to the 1988 Act includes items B and C. Item B is the consumer prices index for September of the financial year preceding the year concerned, and item C is the consumer prices index for September of the financial year which precedes that preceding the year concerned. Paragraph 5(13A) of Schedule 7 to the 1988 Act enables the Welsh Ministers to make regulations to amend, repeal or disapply certain sub-paragraphs in Schedule 7 to the 1988 Act, so as to substitute references to the consumer prices index to another index, or to specify or describe a figure for items B and C.

These Regulations apply to the financial year beginning on 1 April 2022, and disapply paragraph 5(5A)(a) of Schedule 7 to the 1988 Act. The Regulations also specify that the figure for item B is 109.1, which is the consumer prices index for September of the financial year which precedes that preceding the year concerned. This has the effect of the non-domestic rating multiplier remaining as the same figure as that calculated for the financial years beginning on 1 April 2020 and 1 April 2021.

In accordance with paragraph 5(13C) of Schedule 7 to the 1988 Act, these Regulations will only come into force if they are approved by a resolution of Senedd Cymru before Senedd Cymru approves the local government finance report for the financial year beginning on 1 April 2022, or before 1 March 2022 (whichever is earlier).

The Welsh Ministers’ Code of Practice on the carrying out of regulatory impact assessments was considered in relation to these Regulations. As a result, a regulatory impact assessment has been prepared as to the likely costs and benefits of complying with these Regulations. A copy can be obtained from the Local Government Finance Reform Division, Welsh Government, Cathays Park, Cardiff, CF10 3NQ.

(1)

1988 c. 41. Paragraphs 5(13A) to 5(13C) of Schedule 7 were inserted by the Local Government and Elections (Wales) Act 2021 (asc 1) (the “2021 Act”), section 154(2)(f). Those paragraphs apply to paragraphs 5(5A), 5(5B), 5(9A) and 5(9B) of Schedule 7, which were inserted by section 154(2)(d) and (e) of the 2021 Act.