Local Government Finance Act 1982

Part IIE+W Block Grant

8 Adjustments of distribution of block grant.E+W

(1)In subsection (6) of section 59 of the M1Local Governent, Planning and Land Act 1980 (purposes for which the amount of block grant payable to a local authority may be adjusted under that section) after paragraph (c) there shall be inserted—

“(cc)making, in the amount of block grant payable to an authority, adjustments by reference to guidance issued by the Secretary of State and designed to achieve any reduction in the level of local authority expenditure (or any restriction on increase in that level) which he thinks necessary having regard to general economic conditions; and”.

(2)After subsection (11) of the said section 59 there shall be inserted—

“(11A)Any guidance issued for the purposes of subsection (6)(cc) above shall be framed by reference to principles applicable to all local authorities; and before issuing any guidance for those purposes the Secretary of State shall consult such associations of local authorities as appear to him to be concerned and any local authority with whom consultation appears to him to be desirable.”

(3)The powers conferred by the said section 59 . . . F1—

(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F2

(b)shall not be exercised for the purpose specified in paragraph (b) or (c) of [F3subsection (6) of that section] so as to decrease the amount of block grant payable to a local authority; and

(c)shall be exercisable for the purpose specified in paragraph (cc) of that subsection so as to increase or decrease the amount of block grant payable to a local authority according to whether or the extent to which they have or have not complied (or have or have not taken steps to comply) with the guidance referred to in that paragraph.

(4)If representations in that behalf are made to him by any association of local authorities or by any local authority the Secretary of State may—

(a)in the Rate Support Grant Report made for any year under section 60 of the said Act of 1980; or

(b)in a supplementary report made for any year under section 61 of that Act,

provide that expenditure of any description or amount shall be disregarded for the purposes of paragraph (cc) of subsection (6) of the said section 59 and in determining under subsection (3)(c) above whether or the extent to which local authorities have or have not complied (or have or have not taken steps to comply) with the guidance referred to in that paragraph.

[F4(4A)If guidance issued for the purposes of section 59(6)(cc) of the said Act of 1980 is guidance by reference to total expenditure, and if representations in the following behalf are made to the Secretary of State by any association of local authorities or by any local authority, he may—

(a)in the Rate Support Grant Report made for any year under section 60 of that Act, or

(b)in a supplementary report made for any year under section 61 of that Act,

provide that items of any description or amount shall be disregarded in calculating total expenditure for the purposes of the said section 59(6)(cc) and of determining under subsection (3)(c) above whether or the extent to which local authorities have or have not complied (or have or have not taken steps to comply) with the guidance.]

(5)Subsections (2) and (3) of the said section 59 . . . F5 (which are superseded by subsection (3) above) shall be omitted; . . . F5

(6)The powers conferred by the said section 59 . . . F5 shall not be exercised for the purpose specified in sub-section (6)(cc) of that section except in accordance with principles to be applied to all local authorities; and accordingly subsections (5)(a)(ii) and (7) of that section . . . F5 shall not apply to any exercise of those powers for that purpose.

(7)A supplementary report made for any year under section 61 of the said Act of 1980 may specify a determination under the said section 59 . . . F5 in relation to a local authority notwithstanding that no such determination was specified in relation to that authority in the Rate Support Grant Report made for that year under section 60 of that Act.

(8)No determination made for the purpose specified in subsection (6)(cc) of the said section 59 and specified by virtue of subsection (7) above in a supplementary report shall be such as to decrease the amount of block grant payable to a local authority in any year to any greater extent than is permissible in accordance with principles specified in that behalf in the Rate Support Grant Report made for that year.

(9)Where by virtue of subsection (7) above a determination is specified in a supplementary report—

(a)the principles in accordance with which the power to make the determination are exercised; and

(b)[F6such explanation as the Secretary of State thinks desirable of the main features of the determination.],

shall be specified in the supplementary report except that paragraph (a) above shall not apply to any determination which is subject to subsection (8) above.

(10)This section has effect in relation to block grant for any year beginning on or after 1st April 1981 except that so much of subsection (2) above as relates to consultation and subsection (8) above do not apply to any year beginning before 1st April 1983.

(11). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F7

9 Information for purposes of block grant.E+W

(1)The Secretary of State shall have power to require any information submitted to him by a local authority under section 65(1) of the M2Local Government, Planning and Land Act 1980 (information for purposes of block grant) to be certified under arrangements made by the Audit Commission established under Part III of this Act.

(2)(3). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F8

10 Block grant for Receiver for the Metropolitan Police District.E+W

(1)Schedule 2 to this Act shall have effect for enabling block grant to be paid to the Receiver for the Metropolitan Police District.

(2)This section has effect for any year beginning on or after 1st April 1983.