Social Security Administration Act 1992

[F1[F2SubsidyU.K.

Textual Amendments

F1Ss. 138-140G repealed (1.4.2013 in so far as relate to the abolition of council tax benefit) by Welfare Reform Act 2012 (c. 5), s. 150(3), Sch. 14 Pt. 1; S.I. 2013/358, art. 8(c), Sch. 4 (with arts. 9, 10, Sch. 5)

F2Ss. 140A-140G and cross-headings inserted (1.4.1997) by Housing Act 1996 (c. 52), s. 232(3), Sch. 12 para. 4 (with s. 122(4)); S.I. 1997/618, art. 2(1) (with Sch.)

140ASubsidyU.K.

(1)For each year the Secretary of State shall pay a subsidy to each authority administering housing benefit or council tax benefit.

(2)He shall pay—

(a)rent rebate subsidy to each housing authority;

(b)rent allowance subsidy to each local authority; and

(c)council tax benefit subsidy to each billing authority [F3and to each local authority in Scotland].

(3)In the following provisions of this Part “subsidy”, without more, refers to subsidy of any of those descriptions.

Textual Amendments

F3Words in s. 140A(2)(c) substituted (retrospectively from 1.4.1997) by the Welfare Reform Act 2007 (c. 5), s. 70(2), Sch. 5 para. 8(1)(2)

140BCalculation of amount of subsidyU.K.

(1)The amount of subsidy to be paid to an authority shall be [F4determined in accordance with an] order made by the Secretary of State.

(2)Subject as follows, the amount of subsidy shall be calculated by reference to the amount of relevant benefit paid by the authority during the year F5...

F6...

(3)The order may provide that the amount of subsidy in respect of any matter shall be a fixed sum or shall be nil.

[F7(4)The Secretary of State may—

(a)pay as part of subsidy an additional amount specified by, or calculated in a manner specified by, the order; or

(b)deduct from the amount which would otherwise be payable by way of subsidy an amount specified by, or calculated in a manner specified by, the order.

(4A)The additional amounts which may be paid by virtue of subsection (4)(a) above include amounts in respect of—

(a)the costs of administering the relevant benefit; or

(b)success in preventing or detecting fraud relating to the relevant benefit or action to be taken with a view to preventing or detecting such fraud.

(5)The Secretary of State may—

(a)where an application is made by an authority on his invitation, pay to the authority as part of the subsidy such additional amount as he considers appropriate in respect of—

(i)success in preventing or detecting fraud relating to the relevant benefit; or

(ii)action to be taken with a view to preventing or detecting such fraud; or

(b)deduct from the subsidy which would otherwise be payable to an authority such amount as he considers it unreasonable to pay by way of subsidy.

(5A)The amounts which may be deducted by virtue of subsection (4)(b) or (5)(b) above include amounts in respect of—

(a)a failure to comply with directions under [F8section 139D(3A) or (3B)] above; and

(b)other failures in preventing or detecting fraud relating to the relevant benefit.]

(6)In this section “relevant benefit” means housing benefit or council tax benefit, as the case may be.

F9(7). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(8)The amount of subsidy payable to an authority shall be calculated to the nearest pound, disregarding an odd amount of 50 pence or less and treating an odd amount exceeding 50 pence as a whole pound.

Textual Amendments

F7S. 140B(4)-(5A) substituted for s. 140B(4)(5) (1.7.1997) by Social Security Administration (Fraud) Act 1997 (c. 47), ss. 10, 25(1); S.I. 1997/1577, art. 2, Sch.

F8Words in s. 140B(5A) substituted (1.4.2008) by Welfare Reform Act 2007 (c. 5), Sch. 5 para. 9; S.I. 2008/411, art. 2(3)(c)

Modifications etc. (not altering text)

C1S. 140B applied in part (26.6.2001 for specified purposes, 2.7.2001 in so far as not already in force) by Child Support, Pensions and Social Security Act 2000 (c. 19), ss. 70(2)(a), 86 (with s. 83(6)); S.I. 2001/2295, art. 2(c)

140CPayment of subsidyU.K.

(1)Subsidy shall be paid by the Secretary of State in such instalments, at such times, in such manner and subject to such conditions as to claims, records, certificates, audit or otherwise as may be provided by order of the Secretary of State.

[F10(1A)Conditions under subsection (1) above may (in particular) be imposed to obtain information for the purposes of the carrying-out by the Secretary of State of any of his functions relating to subsidy.]

(2)The order may provide that if an authority has not, within such period as may be specified in the order, complied with the conditions so specified as to claims, records, certificate, audit or otherwise, the Secretary of State may estimate the amount of subsidy payable to the authority and employ for that purpose such criteria as he considers relevant.

(3)Where subsidy has been paid to an authority and it appears to the Secretary of State—

(a)that subsidy has been overpaid; or

(b)that there has been a breach of any condition specified in an order under this section,

he may recover from the authority the whole or such part of the payment as he may determine.

Without prejudice to other methods of recovery, a sum recoverable under this subsection may be recovered by withholding or reducing subsidy.

(4)An order made by the Secretary of State under this section may be made before, during or after the end of the year or years to which it relates.

Textual Amendments

Modifications etc. (not altering text)

C2 S. 140C applied (26.6.2001 for specified purposes, 2.7.2001 in so far as not already in force) by Child Support, Pensions and Social Security Act 2000 (c. 19), ss. 70(2)(b), 86 (with s. 83(6)); S.I. 2001/2295, art. 2(c)

140DRent rebate subsidy: accounting provisionsU.K.

(1)Rent rebate subsidy is payable—

(a)in the case of a local authority in England and Wales, for the credit of a revenue account of theirs other than their Housing Revenue Account or Housing Repairs Account;

(b)in the case of a local authority in Scotland, for the credit of their rent rebate account;

F11(c). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(d)in the case of a new town corporation in Scotland or Scottish Homes, for the credit of the account to which rent rebates granted by them, or it, are debited.

F12(2). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]]