§ Mrs. Ray MichieTo ask the Secretary of State for Scotland whether his Department intends to use the actual poll tax figures charged by local authorities in the current year in Scotland in calculating transitional poll tax relief; and if he will make a statement.
§ Lord James Douglas-HamiltonNo. The intention behind the proposed transitional relief scheme is to compensate personal community charge payers who have experienced significantly large increases in payments as 175W against their previous rate bill as a result of the change from domestic rates to the community charge. For this purpose charges estimated to exclude the effects of local authorities' decisions to expand services this year provide a more realistic basis for establishing entitlement to relief.
§ Mrs. Ray MichieTo ask the Secretary of State for Scotland what financial provision he has allocated to cover the administrative cost of implementing the transitional poll tax relief scheme in Scotland including the recalculation of rebates.
§ Lord James Douglas-HamiltonMy right hon. and learned Friend has made it clear that local authorities will be reimbursed for the reasonable costs they incur in administering the community charge transitional relief scheme. The costs will clearly depend upon the details of the scheme and we are at present discussing those with the Convention of Scottish Local Authorities.
§ Mr. KennedyTo ask the Secretary of State for Scotland what guidance has been given to local authorities as to the issue of a seven-day notice prior to the issue of a 14-day notice to all those liable for the community charge who have not indicated in writing that they wish to pay by lump sum.
§ Lord James Douglas-HamiltonNone. The requirements relating to the issue of seven and 14-day letters are set out in schedule 2 to the Abolition of Domestic Rates Etc (Scotland) Act 1987.
§ Mr. KennedyTo ask the Secretary of State for Scotland what steps local authorities must take to remind community charge payers of their liability before invoking legal action for arrears or non-payment in the case of those paying by(a) monthly instalments and (b) other than monthly instalments.
§ Lord James Douglas-HamiltonParagraph 7(2) of schedule 2 to the Abolition of Domestic Rates Etc (Scotland) Act 1987, as amended lists the requirements which a levying authority has to meet before the sheriff will on application grant a summary warrant authorising recovery of arrears of community charge. These include a requirement for the authority to have given written notice requiring paying of the amount due within a period of 14 days after the date of the giving of the notice. The levying authority can apply for a summary warrant in respect of any amount of community charge arrears. If, however, it wishes to recover the full annual amount from a person who is paying, or should be paying, by monthly instalments, they must first have followed the procedures set out in paragraph 4(9) of schedule 2 to the 1987 Act. This provides that the full amount becomes payable by such a person if they are three monthly payments in arrears, if they have been given written notice that failure to pay their arrears within seven days of the sending of the notice will lead to the full annual amount becoming payable, and if they have failed to pay their arrears within those seven days.