Explanatory note

These Regulations set out a scheme for reducing the liability of individuals in England to pay a personal community charge. The scheme applies for the three successive financial years starting with the year beginning 1st April 1990 (regulation 3).

For the purposes of the regulations the Secretary of State is required to lay before Parliament not later than 31st March 1990 a report setting out for each charging authority in England an assumed personal community charge and an assumed rate poundage (regulation 4). One or both of the assumed figures are the basis for the calculation of relief under Parts II to IV of the regulations.

Part II (regulations 5 to 10) is concerned with rates related relief where one person is registered on 31st March 1990 as subject to a personal community charge by reference to a residence and no other person is so registered by reference to the same residence (or another residence forming part of the same hereditament) on that day. Unregistered persons are to be treated in the same way as registered persons if the fact that they were not duly registered is not their fault. (Regulation 5(1) and (2)). The measure of relief in 1990/91 is the amount by which the assumed personal community charge of the charging authority (or, if lower, the actual charge) exceeds the rates bill036£156. £156 reflects the first £3 per week of any increase due to the introduction of the personal community charge. The rates bill' for this purpose is generally the rateable value on 31st March 1990 of the hereditament which was (or included) the person’s residence on that date multiplied by the appropriate rate poundage. Relief is progressively reduced in later years by £13 a year.

Where a person becomes the sole chargeable resident because of the death of another person in March 1990 or another person becoming exempt in that month, relief is calculated by reference to two charges, not one, and the total number of persons concerned, if this is more favourable (regulation 7).

Relief is not available under Part II to a person who would be worse off because of the effect on his entitlement to community charge benefit under social security legislation. Nor is it available to elderly persons or disabled persons if they are eligible for the higher relief provided by Part IV of the regulations (regulation 8).

Except in special circumstances, relief ceases when recipients change their residence (regulation 9).

Special provision is made as respects the effect of local government boundary changes (regulation 10).

Part III of the regulations provides for rates related relief where two or more persons are on 31st March 1990 registered for personal community charge purposes by reference to the same residence (or two or more residences forming part of the same hereditament). Again, those not registered are also eligible for relief if they have complied with their obligations to provide information or the lack of proper registration is not their fault.

The main differences between relief under Part II and relief under Part III is that the total amount of relief is always calculated under Part III by reference to twice the assumed (or, if lower, actual) community charge and the resulting amount divided by the number of eligible chargepayers. The amount of relief available in the case of any individual is the resulting share.

The same exceptions and limitations apply as in the case of relief under Part II and regulation 10 is applied. The entitlement of any one of the chargepayers is not affected by the fact that one of the other chargepayers sharing the residence moves to another residence or another person moves into the residence.

Under Part IV, the elderly and disabled are entitled to relief so far as the assumed community charge for their authority (or, if less, its actual charge) exceeds £156 or in later years, £169 and £182. Relief is only available under Part IV on application. Applicants must declare they were not ratepayers in 1989/90 or did not pay rent in a case where the landlord has responsibility for rates; and that they are not the spouse of a former ratepayer or rent payer.

Appeals in connection with relief are to be considered by a Review Panel of the charging authority, not the Community Charge and Valuation Tribunal (regulations 21 to 23).