Explanatory note

Section 12 of the Local Government Finance Act 1992 (“the 1992 Act”) (Discounts: special provision for Wales) as substituted by section 75(2) of the Local Government Act 2003 provides the power for the National Assembly for Wales, by regulations, to prescribe one or more classes of dwellings in Wales for certain purposes as set out in sub-sections (3) and (4) of that section. These Regulations are made under sections 12 and 113(1) of the 1992 Act and prescribe a new class of dwellings.

The Council Tax (Prescribed Classes of Dwellings) (Wales) Regulations 1998 (“the 1998 Regulations”) prescribed two classes of dwellings (Class A and Class B) for the purposes of section 12 of the 1992 Act. Those classes applied for each financial year beginning on or after 1st April 1998. In regulation 3 these Regulations amend the 1998 Regulations by the prescription of an additional class of dwellings (Class C) which shall apply for each financial year commencing on or after 1st April 2004. Class C comprises every chargeable dwelling in Wales which is unoccupied and substantially unfurnished. The effect of the prescription of Class C is that billing authorities in Wales may, from 1st April 2004, reduce or end the council tax discount for chargeable dwellings which are unoccupied and substantially unfurnished.

Regulation 3(4) amends the 1998 Regulations to update certain definitions in those Regulations by reference to the Income Tax (Earnings and Pensions) Act 2003.