Paragraph 4 Calculation of applicable and further amounts
Subject to paragraphs 5 to 7, where in the case of an appropriate authority in England or Wales
a (being the total of the housing benefit amounts as calculated under Part II of Schedule 1 and the council tax benefit amounts calculated under this Part in respect of that appropriate authority) exceeds B (being 120 per cent. of the relevant amount), the council tax benefit amounts for that appropriate authority for the relevant year shall be the sum calculated under paragraphs 2 and 3 less the excess; or
a (being the total of the housing benefit amounts as calculated under Part II of Schedule 1 and the council tax benefit amounts calcuiated under this Part in respect of that appropriate authority) is less than y (being 95 per cent. of the relevant amount) the council tax benefit amounts for that appropriate authority shall be the sum calculated under paragraphs 2 and 3 plus an amount equal to the difference between α and γ.
The relevant amount for the purposes of paragraphs 4 and 6 is the aggregate of the housing benefit amounts and council tax benefit amounts payable to that appropriate authority for the financial year ending 31st March 1994 calculated in accordance with Schedules 1 and 2 to the 1994 Order (calculation of subsidy in respect of administration costs).