Rate Product Rules 1981
| Jurisdiction | UK Non-devolved |
| Citation | SI 1981/327 |
| Year | 1981 |
1981 No. 327
RATING AND VALUATION
The Rate Product Rules 19814thMarch 1981
11thMarch 1981
1stApril 1981
The Secretary of State for the Environment, after consultation with the local authorities and the associations of local authorities with whom consultation appeared to him to be desirable, in exercise of the powers conferred by sections 12, 14 and 113 of the General Rate Act 1967(a) and now vested in him(b) and of all other powers enabling him in that behalf, hereby makes the following rules:—
Title, commencement and interpretation
1.—(1) These rules may be cited as the Rate Product Rules 1981 and shall come into operation on 1st April 1981.
(2) In these rules—
"exclusive product" in relation to any area or part means a product of a rate of one penny in the pound for that area or part determined by the grant exclusive method in the Schedule to these Rules;
"inclusive product" in relation to any area or part means a product of a rate of one penny in the pound for that area or part determined by the grant inclusive method in the Schedule to these Rules;
"relevant area" has the same meaning as in section 3(11) of the Land Drainage Act 1976(c);
"water authority" has the same meaning as in section 2(3) of the Water Act 1973(d).
Notification of estimated penny rate product
2. For the purpose of enabling water authorities to issue their precepts in the manner required by section 46 of the Land Drainage Act 1976 every county council and every London borough council shall, before 1st February in each year, transmit to each of those water authorities having power to issue a precept to them the estimated penny rate product for the next ensuing year for each relevant area.
Determination of estimated and actual penny rate product
3. For the purposes of section 46(1) and (9) of the Land Drainage Act 1976 the estimated penny rate product and the actual penny rate product for each
(a) 1967 c. 9.
(b) S.I. 1970/1681.
(c) 1976 c. 70.
(d) 1973 c. 37.
relevant area of a county or a London borough shall be the inclusive product for so much of the area of the county or borough as lies within the relevant area.
Precepts
4. For the purposes of precepts under section 12 or 13 of the General Rate Act 1967 (provisions as to precepts by county councils, the Greater London Council, the Receiver for the Metropolitan Police District and other authorities), the product of a rate of one penny in the pound for a rating area or part thereof shall be the exclusive product.
Expenditure not specifically authorised
5. The product of a rate of one penny in the pound for any area for the purposes of section 137 of the Local Government Act 1972(a) (which relates to the power of a local authority to incur expenditure in the interests of their area or its inhabitants where not otherwise authorised) shall be the exclusive or inclusive product whichever is the greater.
Expenses of the Commissions
6. The product of a rate of one penny in the pound for any area for any year for the purposes of paragraph 8 of Schedule 4 to the Local Government Act 1974(b) (which relates to the apportionment among county councils, the Greater London Council and the Council of the Isles of Scilly of all expenses incurred by the Commissions for Local Administration) shall be the inclusive product.
Other enactments
7. Any reference in, or in an instrument made under, any other enactment to the product of a rate of one penny in the pound for any area or part shall be construed as a reference to the inclusive product.
Revocation and saving
8.—(1) The Rate Product Rules 1974(c), the Rate Product (Amendment) Rules 1977(d) and the Rate Product (Amendment) Rules 1980(e) are hereby revoked.
(2) Nothing in this rule shall affect any determination of the product of a rate of one penny in the pound to be made at any time after the coming into operation of these rules in respect of the year ending on 31st March 1981 or any previous year.
SCHEDULE
PRECEPTS AND DETERMINATION OF THE PRODUCT OF A RATE OF ONE PENNY IN THE POUND
Determination of product of a penny rate
1. Each local authority shall as soon as may be after the close of any year determine the exclusive and inclusive product for that year for their area, and where a precept is issuable in respect of a part only of an area the exclusive and the inclusive product for that year for such part.
(a) 1972 c. 70.
(b) 1974 c. 7.
(c) S.I. 1974/364.
(d) S.I. 1977/454.
(e) S.I. 1980/340.
The grant exclusive method
2.—(1) Subject to sub-paragraphs (2) and (3) below the exclusive product for any rating area or part thereof for any year shall be determined by deducting from the gross rate income the cost of collection and the loss on collection and dividing the remainder by the total of the pence in the pound of the rate or rates made in respect of the year (disregarding any reductions in poundage made in pursuance of section 48 of the principal Act).
(2) In the case of part of the rating area the exclusive product shall be the sum of the exclusive product calculated under sub-paragraph (1) above for that part and the exclusive product on the rateable value in that part of any gas or electricity hereditament if the rateable value in that part falls to be ascertained under paragraph 3(2) of this Schedule.
(3) If the total of the pence in the pound of the rates is not the same...
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