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Paragraph 7 Excess amounts – actual deficits

Changes not yet applied. Later legislation changes this provision in ways not yet written into the text below:

(1)

Where, having taken into account the un-audited information and any other relevant information available to him, it appears to the Secretary of State that the total amount likely to be payable out of an authority’s FPF in the year in question exceeds the total amount likely to be credited to the authority’s FPF in that year—

(a)

where the likely deficit (“the un-audited deficit”) exceeds the total of any amounts paid or payable to the authority in relation to that year under rule 5(1) or (2) (“the rule 5 total”), he shall pay to the authority the amount of the un-audited deficit less the rule 5 total;

(b)

where the un-audited deficit is less than the rule 5 total, the amount of the rule 5 total less the un-audited deficit shall not be payable under rule 5(1) or (2) and, if already paid, the authority shall repay that amount to the Secretary of State;

(c)

where no amount was paid or payable by him to the authority in relation to the year in question under rule 5(1) or (2), he shall pay to the authority the amount of the un-audited deficit; and

(d)

any amount paid or payable to him in relation to that year under rule 6(1) or (2), shall not be payable and, if already paid, the Secretary of State shall repay it to the authority.

(2)

Where, having taken into account the audited information and any other relevant information available to him, it appears to the Secretary of State that the total amount paid or payable out of an authority’s FPF in the year in question exceeds the total amount credited to their FPF in that year—

(a)

where the difference between those total amounts (“the audited deficit”) exceeds the total of any amounts paid (but not repaid or repayable) or payable to the authority in relation to that year under paragraph (1)(a) or (c) or rule 5(1) or (2) (“the un-audited total”), he shall pay to the authority the amount of the audited deficit less the un-audited total;

(b)

where the audited deficit is less than the un-audited total, the amount of the un-audited total less the audited deficit shall not be payable under paragraph (1)(a) or (c) or rule 5(1) or (2) and, if already paid, the authority shall repay it to the Secretary of State;

(c)

where no amount was paid or payable by him to the authority in relation to the year in question under paragraph (1)(a) or (c) or rule 5(1) or (2), he shall pay to the authority the amount of the audited deficit; and

(d)

any amount paid or payable to him in relation to the year in question under rule 6(1) or (2) or rule 8(1)(a) or (c), shall not be payable and, if already paid, the Secretary of State shall repay it to the authority.

(3)

An amount payable or repayable by the Secretary of State to an authority, or vice versa, under paragraph (1), shall be paid or repaid in July in the financial year following the year in question (“the second year”).

(4)

An amount payable or repayable by the Secretary of State to an authority, or vice versa, under paragraph (2), shall be paid or repaid in July in the financial year following the second year.