HC Deb 19 July 1961 vol 644 cc1291-2

Lords Amendment: In page 25, line 19, leave out from end to "in" in line 41 and insert: the following provisions shall have effect for the period between the change and the coming into force of the first valuation lists to come into force after the change:—

  1. (a) for the year in which the change takes place the rateable values of hereditaments which on the change become water hereditaments of a new undertaking shall be the same as they were before the change, the rateable value of any water hereditament of a new undertaking which is part of a hereditament which before the change was a water hereditament of another undertaking being ascertained by the Commissioners by apportionment;
  2. (b) for any subsequent year the rateable values of water hereditaments of a new undertaking shall be such as the Commissioners may determine to be appropriate having regard to the cumulo-values for the undertakings wholly or partly comprised in the new undertaking;
  3. (c) without prejudice to the generality of head (a) of this sub-paragraph, no alteration shall be made under section seventeen of this Act as respects water hereditaments of a new undertaking so as to affect the rateable values of such hereditaments for the year in which the change took place;
  4. (d) in the application of the said section seventeen (for any subsequent year) as respects any period of years ending after the change—
    1. (i) the undertakers carrying on a new undertaking shall be treated as having had in periods beginning before the change a yearly average supply ascertained by reference to the yearly average supplies of the undertakers carrying on the undertakings wholly or partly comprised in the new undertaking, and
    2. (ii) the cumulo-value of a new undertaking shall be taken to be an amount ascertained by the Commissioners as that which appears to them appropriate having regard to the said cumulo-values: and"

Sir K. Joseph

I beg to move, That this House doth agree with the Lords in the said Amendment.

It may be convenient, Mr. Deputy-Speaker, to take with this Amendment that in line 50, to leave out "(c)" and to insert "(b)", and that in page 26, line 1, to leave out "under head (d) thereof" and to insert of the cumulo-value of a new undertaking for the purposes of the first valuation lists coming into force after the time of the change. Part III of the Second Schedule provides for the rating of new water under- takings where changes occur by acquisition, merger or division. There were two defects in the arrangements in the Bill. First, no provision was made for splitting the rateable value of a water hereditament split between undertakings. This Amendment provides that the Commissioners will have power to make that split. The second defect was that there was no provision for fixing the cumulo-value as a base to make comparisons with Clause 17 adjustments, and it is now sought to provide the Commissioners with that power.

Mr. Mitchison

On the merits of the matter, I appreciate what it is desired to do, and this seems a right and sensible way of tackling the problem. I said during the Third Reading debate how much I admired the drafting of this very difficult part of the Bill, but I am really surprised that only such a small alteration as this should be required at this stage. This is not a case of "non-potable"; this is much better.

Question put and agreed to. [Special Entry.]

Subsequent Lords Amendments agreed to. [Special Entries.]