Section 50 Calculation of budget requirement by authorities in Wales .F3C1C2C3C4C5C6
England and Wales
In relation to each financial year a local precepting authority F1in Wales shall make the calculations required by this section.
The authority must calculate the aggregate of—
the expenditure the authority estimates it will incur in the year in performing its functions and will charge to a revenue account for the year;
such allowance as the authority estimates will be appropriate for contingencies in relation to expenditure to be charged to a revenue account for the year;
the financial reserves which the authority estimates it will be appropriate to raise in the year for meeting its estimated future expenditure; and
such financial reserves as are sufficient to meet so much of the amount estimated by the authority to be a revenue account deficit for any earlier financial year as has not already been provided for.
The authority must calculate the aggregate of—
the sums which it estimates will be payable to it for the year and in respect of which amounts will be credited to a revenue account for the year, other than sums which it estimates will be so payable in respect of any precept issued by it; and
the amount of the financial reserves which the authority estimates that it will use in order to provide for the items mentioned in paragraphs (a) and (b) of subsection (2) above.
If the aggregate calculated under subsection (2) above exceeds that calculated under subsection (3) above, the authority must calculate the amount equal to the difference; and the amount so calculated shall be its budget requirement for the year.
For the purposes of subsection (2)(c) above an authority’s estimated future expenditure is—
that which the authority estimates it will incur in the financial year following the year in question, will charge to a revenue account for the year and will have to defray in the year before the following sums are sufficiently available, namely, sums—
which will be payable to it for the year; and
in respect of which amounts will be credited to a revenue account for the year; and
that which the authority estimates it will incur in the financial year referred to in paragraph (a) above or any subsequent financial year in performing its functions and which will be charged to a revenue account for that or any other year.
F2. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Annotations
Textual amendments
- F1
Words in s. 50(1) inserted (3.12.2011) by Localism Act 2011 (c. 20), s. 240(2), Sch. 7 para. 27(3); S.I. 2011/2896, art. 2(i)
- F2
S. 50(6) repealed (27.11.2003 for W. and 1.4.2004 for E.) by Local Government Act 2003 (c. 26), s. 127(2), 128, Sch. 8 Pt. 1; S.I. 2003/3034, art. 2(1)(4), Sch. 1 Pt. 1; S.I. 2003/2938, art. 7
- F3
Words in s. 50 heading inserted (3.12.2011) by Localism Act 2011 (c. 20), s. 240(2), Sch. 7 para. 27(2); S.I. 2011/2896, art. 2(i)
Modifications
- C1
Pt. I Chs. III-IV (ss. 30-52) modified (E.) (1.2.1993) by S.I. 1993/22, art. 4(2)
- C2
S. 50 applied (with modifications) (W.) (coming into force in accordance with art. 1(2)(3) of the amending S.I.) by The Monmouthshire (Communities) Order 2021 (S.I. 2021/1227), art. 251(5)
- C3
S. 50 applied (with modifications) (6.5.2026 for specified purposes and otherwise at 23:59 hours on the day before the ordinary day of election of councillors in 2027) by The County Borough of the Vale of Glamorgan (Communities) Order 2026 (W.S.I. 2026/87), arts. 1(2)(3), 165(5)(6)
- C4
S. 50 applied (with modifications) (6.5.2026 for specified purposes and otherwise at 23:59 hours on the day before the ordinary day of election of councillors in 2027) by The County of Ceredigion (Communities) Order 2026 (W.S.I. 2026/94), arts. 1(2)(3), 285(5)(6)
- C5
S. 50 applied (with modifications) (6.5.2026 for specified purposes and otherwise at 23:59 hours on the day before the ordinary day of election of councillors in 2027) by The County of Swansea (Communities) Order 2026 (W.S.I. 2026/95), arts. 1(2)(3), 104(5)(6)
- C6
S. 50 applied (with modifications) (6.5.2026 for specified purposes and otherwise at 23:59 hours on the day before the ordinary day of election of councillors in 2027) by The County Borough of Caerphilly (Communities) Order 2026 (W.S.I. 2026/102), arts. 1(2)(3), 53(5)(6)
- C7
S. 50(1) excluded (1.4.2009) by The Charter Trustees Regulations 2009 (S.I. 2009/467), regs. 1(1), 12(1) (with reg. 1(2))
Notes on Part I
Modifications
- C1
Pt. I (ss. 1-69) modified (6.3.1992) by Local Government Act 1992 (c. 19), s. 18(1)(a)(b).
- C2
Pt. I (ss. 1-69) modified (31.3.1992) by S.I. 1992/549, art.3.
- C3
Pt. I (ss. 1-69) modified (31.3.1992) by S.I. 1992/550, arts. 3, 4
Pt. I (ss. 1-69) modified (28.11.1994) by S.I. 1994/2825, reg. 3
- C4
Pt. 1 modified (24.12.2008) by The Local Government (Structural Changes) (Finance) Regulations 2008 (S.I. 2008/3022), regs. 1(2), 8
- C5
Pt. 1 modified (24.12.2008) by The Local Government (Structural Changes) (Finance) Regulations 2008 (S.I. 2008/3022), regs. 1(2), 7
Notes on Chapter IV
Modifications
- C1
Pt. I Chs. III-IV (ss. 30-52) modified (E.) (1.2.1993) by S.I. 1993/22, art. 4(2)
Pt. I Ch. IV amended (28.11.1994) by S.I. 1994/2825, reg. 49
Pt. I Ch. IV (ss. 39-52) excluded (1.8.1996) by S.I. 1996/1748, reg. 6(2)
Pt. I Ch. IV (ss. 39-52) restricted (12.7.1995) by S.I. 1995/1771, art. 4(3)(b)(i)
Pt. I Ch. IV (ss. 39-52) restricted (12.7.1995) by S.I. 1995/1772, art. 4(3)(b)(i)
Pt. I Ch. IV (ss. 39-52) restricted (12.7.1995) by S.I. 1995/1773, art. 4(3)(b)(i)
Pt. I Ch. IV (ss. 39-52) restricted (12.7.1995) by S.I. 1995/1774, art. 4(3)(b)(i)
- C2
Pt. 1 Chs. 4, 4ZA: power to modify conferred by 2009 c. 20, s. 107G(3) (as inserted (E.W.) (28.1.2016 for specified purposes, 28.3.2016 in so far as not already in force) by Cities and Local Government Devolution Act 2016 (c. 1), ss. 5(3), 25(2))
- C3
Pt. 1 Chs. 4, 4ZA applied (with modifications) (27.4.2017) by The Combined Authorities (Finance) Order 2017 (S.I. 2017/611), arts. 1, 4(1)(2)(a), Sch. (as amended (17.5.2024) by S.I. 2024/652, regs. 1(1), 3(a)(b))
- C4
Pt. 1 Ch. 4: power to amend conferred (26.12.2023) by Levelling-up and Regeneration Act 2023 (c. 55), ss. 41(3), 255(2)(c) (with s. 247)