SCHEDULES

SCHEDULE 2E+W Elements of Rate Support Grants

Part IE+W The Needs Element

3(1)The need element shall be subject to adjustment, in accordance with the following provisions of this paragraph, in respect of expenditure to which this paragraph applies.E+W

(2)The Secretary of State may by regulations provide for ascertaining the aggregate of the expenditure to which this paragraph applies of all local authorities, for apportioning the aggregate among the authorities and for ascertaining the amount by which the needs element payable to each authority ought to be increased or decreased.

(3)The Secretary of State shall, in accordance with regulations made by him under this paragraph, ascertain at such time as may be specified by the regulations—

(a)the estimated amount of the increases and decreases of the needs element which ought to be made for any year, and

(b)the actual amount of those increases and decreases,

and he shall in paying the needs element for any year adjust the amount of that element in accordance with the estimated amounts so ascertained and shall in paying that element for the earliest practicable subsequent year make any adjustment necessary to offset differences between the estimated and actual amounts so ascertained.

[F1(4)Subject to sub-paragraph (5) below, this paragraph applies to such expenditure as may be specified by regulations made by the Secretary of State, being—

(a)expenditure, other than that to which paragraph 3A below applies, incurred by local authorities in the exercise of their functions as local education authorities;

(b)expenditure incurred by local authorities on research into any of their functions, in the training of persons in matters connected with the functions of local authorities or in respect of persons to whom the training is given.

(5)Regulations specifying expenditure of any description under sub-paragraph (4) above may provide that only a specified proportion of that expenditure shall be expenditure to which this paragraph applies.]