Section 43D Meaning of “permitted rate”F1

In this Part, the “permitted rate” means the lower of—

In this section—

• “consumer prices index” means—

  1. (a)

     the all items consumer prices index published by the Statistics Board, or

  2. (b)

     if that index is not published for a month, any substituted index or figures published by the Board,

• “CPI%” means the percentage increase or decrease (rounded to the nearest 0.1%) in the consumer prices index, calculated by reference only to—

  1. (a)

     the latest index, and

  2. (b)

     the index published for the month which was 12 months before that to which the latest index relates,

• “the latest index”—

  1. (a)

     in a case of setting the initial rent under the current tenancy, means the last index published before the day on which the tenancy starts,

  2. (b)

     in a case of a rent-increase notice, means the last index published before the day on which the notice is given to the tenant.

If the total percentage determined under subsection (1)(a) is less than 0%, it is to be treated instead as if it were 0%.