Statutory Instruments

1991 No. 1780 (S.150)

RATING AND VALUATION

The Local Government (Interest on Repayments of Rates) (Scotland) Order 1991

Made

26th July 1991

Coming into force

1st August 1991

The Secretary of State, in exercise of the powers conferred on him by sections 9A and 37(1) of the Local Government (Scotland) Act 1975(1) and of all other powers enabling him in that behalf, by this Order makes the following regulations:

Citation, commencement and interpretation

1.-(1) This Order may be cited as the Local Government (Interest on Repayments of Rates) (Scotland) Order 1991 and shall come into force on 1st August 1991.

(2) In this Order, "the Act" means the Local Government (Scotland) Act 1975.

Prescribed limit

2. The limit prescribed for the purposes of subsection (1) of section 9A of the Act, and of that subsection as read with subsection (4) of that section, shall be £5.

Prescribed rate of interest

3. The rate of interest prescribed in respect of repayments by a rating authority in the circumstances referred to in subsections (1) and (4) of section 9A of the Act shall, in respect of any period after 31st July 1991, be 12% per annum.

Allan Stewart

Parliamentary Under Secretary of State Scottish Office

St Andrew's House,

Edinburgh

26th July 1991

Explanatory Note

(This note is not part of the Order)

This Order sets at 12% per annum the rate of interest payable by a Scottish rating authority when it repays to a ratepayer a sum paid in error or when it makes a repayment following a successful appeal as to the valuation of the ratepayer's land. The set rate of interest applies only in respect of periods after 31st July 1991.

In addition, the Order prescribes that interest will not be payable if the amount being repaid by the authority is £5 or less.

(1)

1975 c. 30; section 9A was inserted by the Local Government Finance Act 1988 (c. 41), Schedule 12, paragraph 13, with effect from 1st April 1990 (see S.I. 1988/1456); section 37(1) contains a definition of "prescribed" relevant to the exercise of the statutory powers under which this Order is made.