# Finance Act 2004, Paragraph 16AE


(1) In paragraphs 16AC(3) and 16AD(3), U% means the highest of—
(a) 5%,
(b) CPI% (see sub-paragraph (2)), and
(c) RPI% (see sub-paragraph (3)).
(2) If the consumer prices index for September in year P is higher than the consumer prices index for September in the tax year preceding year P, CPI% is the percentage increase in the index (but is otherwise 0%).
(3) If the retail prices index for September in year P is higher than the retail prices index for September in the tax year preceding year P, RPI% is the percentage increase in the index (but is otherwise 0%).
(4) In this paragraph “year P” has the same meaning as in paragraph 16AC or (as the case may be) paragraph 16AD.

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Source: https://www.legislation.gov.uk/ukpga/2004/12/schedule/28/paragraph/16AE (the official version)
Page: https://openlegislation.uk/finance-act-2004/schedule-28/paragraph-16AE
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.