Paragraph 1 I1

Formula rent for the year 2000 – 2001 is determined using the following formula—

$$FR=(\pounds 38.23xRCExBW)+(\pounds 16.39xRPV)$$

Where:

• FR is formula rent

• RCE are relative county earnings calculated in accordance with paragraph 2

• BW is bedroom weighting calculated in accordance with paragraph 3

• RPV is relative property value calculated in accordance with paragraph 4