HL Deb 30 June 1994 vol 556 cc921-2

207 Schedule 17, page 133, line 25, at end insert:

' Limitation of council tax

'.—(1) The Secretary of State may, in a report made by him in relation to the financial year beginning in 1996 and any Welsh county council or county borough council, specify a notional amount for the purposes of this paragraph.

(2) Any such report—

  1. (a) shall contain such explanation as the Secretary of State considers desirable of the calculation by him of the notional amount;
  2. (b) shall be laid before the House of Commons;
  3. (c) may relate to two or more authorities; and
  4. (d) may be amended by a subsequent report under this paragraph.

(3) If any such report is approved by resolution of the House of Commons, the Secretary of State may designate any authority to whom the report relates if in his opinion, taking any excess in the amount calculated by the authority as their budget requirement for the financial year beginning in 1996 over the notional amount as representing an increase, that increase is excessive.

(4) The Secretary of State may by order make such provision as he considers appropriate for the purpose of supplementing this paragraph.

(5) Subject to any such order, the provisions of Chapter V of Part I of the Local Government Finance Act 1992 (limitation of council tax and precepts) shall have effect in relation to a designation under this paragraph as they have effect in relation to a designation under section 54(1) (b) of that Act.'.

Lord Rodger of Earlsferry

My Lords, I beg to move that the House do agree with the Commons in their Amendment No. 207. The amendment relates to the matter of controlling the costs of local government reorganisation. The purpose is to make sure that advantage is not taken of reorganisation to make unjustified increases in local government expenditure.

Moved, That the House do agree with the Commons in their Amendment No. 207.—(Lord Rodger of Earlsferry.)

On Question, Motion agreed to.