Title, commencement and application

1.  (1)  The title of these Regulations is the Council Tax Reduction Schemes (Prescribed Requirements and Default Scheme) (Wales) (Amendment) Regulations 2014.

(2) These Regulations come into force the day after the day on which they are made and apply in relation to Wales.

Amendments to the Council Tax Reduction Schemes and Prescribed Requirements (Wales) Regulations 2013

2.  The Council Tax Reduction Schemes and Prescribed Requirements (Wales) Regulations 2013(2) are amended in accordance with regulations 3 to 12.

3.  In regulation 2(1) (interpretation)-

(a)for paragraph (c) of the definition of "independent hospital" ("ysbyty annibynnol") substitute-

"(c)in Scotland means an independent hospital or a private psychiatric hospital as defined by section 10F(2) of the National Health Service (Scotland) Act 1978(3);";

(b)in the definition of "rent" ("rhent") for "regulation 12" substitute "regulation 12B".

4.  In regulation 8 (households)-

(a)in paragraph 2(a) after "boarded out" insert "or placed";

(b)in paragraph (5)-

(i)omit "and" after sub-paragraph (o); and

(ii)after sub-paragraph (o) insert-

"(oa)the Children's Hearings (Scotland) Act 2011(4); and".

5.  In regulation 28 (persons treated as not being in Great Britain)-

(a)for paragraph (5)(e) substitute-

"(e)a person who has been granted, or who is deemed to have been granted, leave outside the rules made under section 3(2) of the Immigration Act 1971(5) where that leave is-

(i)discretionary leave to enter or remain in the United Kingdom,

(ii)leave to remain under the Destitution Domestic Violence concession(6), or

(iii)leave deemed to have been granted by virtue of regulation 3 of the Displaced Persons (Temporary Protection) Regulations 2005(7);";

(b)omit paragraph (5)(h);

(c)omit paragraph (5)(i);

(d)after paragraph (5)(j) insert-

"(k)a person who is treated as a worker for the purposes of the definition of "qualified person" in regulation 6(1) of the EEA Regulations pursuant to regulation 5 of the Accession of Croatia (Immigration and Worker Authorisation) Regulations 2013(8) (right of residence of a Croatian who is an "accession State national subject to worker authorisation")."

6.  In Schedule 1 (determining eligibility for a reduction under an authority's scheme, amount of reduction and calculation of income and capital: pensioners)-

(a)in paragraph 3 (non-dependant deductions: pensioners)-

(i)in sub-paragraph (1)(a) for "£10.95" substitute "£11.30";

(ii)in sub-paragraph (1)(b) for "£3.65" substitute "£3.75";

(iii)in sub-paragraph (2)(a) for "£186.00" substitute "£188.00";

(iv)in sub-paragraph (2)(b) for "£186.00", "£322.00" and "£7.25" substitute "£188.00", "£326.00" and "£7.50" respectively;

(v)in sub-paragraph (2)(c) for "£322.00", "£401.00" and "£9.15" substitute "£326.00", "£406.00" and "£9.45" respectively;

(vi)in sub-paragraph (7)(d)(i) for "regulation 24(6)" substitute "regulation 26(6)";

(b)in paragraph 10(1)(v)(iii) (meaning of "income": pensioners), in the Welsh text, for "ar ôl talu rhent" substitute "am dalu rhent";

(c)in paragraph 11(3)(b)(iii) (calculation of weekly income: pensioners), in the Welsh text, for "ganiatáu" substitute "alluogi";

(d)in paragraph 14(1)(b) (calculation of earnings self-employed earners: pensioners), in the Welsh text, for "dros ba bynnag gyfnod" substitute "dros ba bynnag gyfnod arall";

(e)in paragraph 19(14)(c) (treatment of child care charges: pensioners), for "Local Government (Scotland) Act 1994" substitute "Local Government etc. (Scotland) Act 1994(9)";

(f)in paragraph 24(4)(a) (calculation of deduction of tax and contributions of self-employed earners), for "paragraph 23(3)(a) or, as the case may be, paragraph 23(4)" substitute "paragraph 23(2)(a) or, as the case may be, paragraph 23(3)".

7.  In Schedule 2 (applicable amounts: pensioners)-

(a)in column (2) of the Table in paragraph 1 (personal allowance)-

(i)in sub-paragraph (1) for "£145.40" and "£163.50" substitute "£148.35" and "£165.15" respectively;

(ii)in sub-paragraph (2) for "£222.05" and "£244.95" substitute "£226.50" and "£247.20" respectively;

(iii)in sub-paragraph (3) for "£222.05" and "£76.65" substitute "£226.50" and "£78.15" respectively;

(iv)in sub-paragraph (4) for "£244.95" and "£81.45" substitute "£247.20" and "£82.05" respectively;

(b)in column (2) of the Table in paragraph 2 (child or young person amounts), for "£65.62" in each place where it occurs substitute "£66.33";

(c)in the second column of the Table in Part 4 (amounts of premium specified in Part 3)-

(i)in sub-paragraph (1) for "£59.50" in each place in which it occurs substitute "£61.10" and for "£119.00" substitute "£122.20";

(ii)in sub-paragraph (2) for "£23.45" substitute "£24.08";

(iii)in sub-paragraph (3) for "£57.89" substitute "£59.50";

(iv)in sub-paragraph (4) for "£33.30" substitute "£34.20".

8.  In Schedule 5 (capital disregards: pensioners)-

(a)in paragraph 21-

(i)in sub-paragraph (1)(e) for "." substitute ";";

(ii)after sub-paragraph (1)(e) insert-

"(f)by way of occasional assistance including arrears and payments in lieu of occasional assistance.";

(iii)at the end of sub-paragraph (2)(n) omit "or";

(iv)in sub-paragraph (2)(o) for "." substitute ";";

(v)after sub-paragraph (2)(o) insert-

"(p)social fund payments under Part 8 of the SSCBA; or

(q)universal credit.";

(b)in paragraph 22-

(i)in sub-paragraph (2)(e) for "," substitute ";";

(ii)after sub-paragraph (2)(e) insert-

"(f)paragraph 18 of Schedule 10 to the Universal Credit Regulations 2013(10),";

(c)after paragraph 32 insert-

"33.  Any payment made by the Treasury to the applicant or the applicant's partner under the Age-Related Payments Regulations 2013(11) (Equitable Life) as a qualifying Equitable Life annuitant."

9.  In Schedule 6 (determining eligibility for a reduction under an authority's scheme, amount of reduction and calculation of income and capital: persons who are not pensioners)-

(a)in paragraph 5 (non-dependant deductions: persons who are not pensioners)-

(i)in sub-paragraph (1)(a) for "£10.95" substitute "£11.30";

(ii)in sub-paragraph (1)(b) for "£3.65" substitute "£3.75";

(iii)in sub-paragraph (2)(a) for "£186.00" substitute "£188.00";

(iv)in sub-paragraph (2)(b) for "£186.00", "£322.00" and "£7.25" substitute "£188.00", "£326.00" and "£7.50" respectively;

(v)in sub-paragraph (2)(c) for "£322.00", "£401.00" and "£9.15" substitute "£326.00", "£406.00" and "£9.45" respectively;

(vi)in sub-paragraph (7)(d)(i) for "regulation 24(6)" substitute "regulation 26(6)";

(b)in paragraph 25(4)(a) (calculation of deduction of tax and contributions of self-employed earners), for "sub-paragraph (3)(a) or, as the case may be, (5) of paragraph 24" substitute "sub-paragraph (3)(a) or, as the case may be, (4) of paragraph 24".

10.  In Schedule 7 (applicable amounts: persons who are not pensioners)-

(a)in column (2) of the Table in paragraph 1 (personal allowances)-

(i)in sub-paragraph (1) for "£71.70" in each place in which it occurs substitute "£72.40" and for "£56.80" substitute "£57.35";

(ii)in sub-paragraph (2) for "£71.70" substitute "£72.40";

(iii)in sub-paragraph (3) for "£112.55" substitute "£113.70";

(b)in column (2) of the table in paragraph 3 (personal allowances), for "£65.62" in each place in which it occurs substitute "£66.33";

(c)in paragraph 10(2) (additional condition for the disability premium), for "sub-paragraph (1)(a)(vi)" substitute "sub-paragraph (1)(a)(vii)";

(d)in the second column of the Table in Part 4 (amounts of premiums specified in Part 3)-

(i)in sub-paragraph (1) for "£31.00" and "£44.20" substitute "£31.85" and "£45.40" respectively;

(ii)in sub-paragraph (2) for "£59.50" in each place in which it occurs substitute "£61.10" and for "£119.00" substitute "£122.20";

(iii)in sub-paragraph (3) for "£57.89" substitute "£59.50";

(iv)in sub-paragraph (4) for "£33.30" substitute "£34.20";

(v)in sub-paragraph (5) for "£23.45", "£15.15" and "£21.75" substitute "£24.08", "£15.55" and "£22.35" respectively;

(e)in paragraph 23 (amount of work-related activity component), for "£28.45" substitute "£28.75";

(f)in paragraph 24 (amount of support component), for "£34.80" substitute "£35.75".

11.  In Schedule 10 (capital disregards: persons who are not pensioners)-

(a)after paragraph 2 insert-

"(2A) Any payment made to the applicant in respect of any travel or other expenses incurred, or to be incurred, by the applicant in respect of the applicant's participation in a scheme prescribed in regulation 3 of the Jobseeker's Allowance (Schemes for Assisting Persons to Obtain Employment) Regulations 2013(12) but only for 52 weeks beginning with the date of receipt of the payment.";

(b)in paragraph 12-

(i)in sub-paragraph (1)(f) for "," substitute ";";

(ii)after sub-paragraph (1)(f) insert-

"(g)universal credit,";

(c)after paragraph 62 insert-

"63.  Any payment made by the Treasury to the applicant or the applicant's partner under the Age-Related Payments Regulations 2013 (Equitable Life) as a qualifying Equitable Life annuitant."

12.  In Schedule 11 (students)-

(a)in paragraph 9 (treatment of student loans)-

(i)in sub-paragraph (2)(b) omit "and for the purposes of this paragraph, "quarter" ("chwarter") is to have the same meaning as for the purposes of the Education (Student Support) Regulations 2005";

(ii)after sub-paragraph (5) insert-

"(6) For the purposes of this paragraph "quarter" ("chwarter") in relation to an academic year means a period in that year-

(a)beginning on 1 January and ending on 31 March;

(b)beginning on 1 April and ending on 30 June;

(c)beginning on 1 July and ending on 31 August; or

(d)beginning on 1 September and ending on 31 December.";

(b)in paragraph 10 (treatment of fee loans), for "Education (Student Support) (Northern Ireland) Order 1988" substitute "Education (Student Support) (Northern Ireland) Order 1998".

Amendments to the Council Tax Reduction Schemes (Default Scheme) (Wales) Regulations 2013

13.  The scheme set out in the Schedule to the Council Tax Reduction Schemes (Default Scheme) (Wales) Regulations 2013(13) is amended in accordance with regulations 14 to 32.

14.  In paragraph 2(1) (interpretation)-

(a)for paragraph (c) of the definition of "independent hospital" ("ysbyty annibynnol") substitute-

"(c)in Scotland means an independent hospital or a private psychiatric hospital as defined by section 10F(2) of the National Health Service (Scotland) Act 1978(14);";

(b)in the definition of "rent" ("rhent") for "regulation 12" substitute "regulation 12B".

15.  In paragraph 8 (households)-

(a)in sub-paragraph (2)(a) after "boarded out" insert "or placed";

(b)in sub-paragraph (5)-

(i)omit "and" after paragraph (o); and

(ii)after paragraph (o) insert-

"(oa)the Children's Hearings (Scotland) Act 2011(15); and".

16.  In paragraph 19 (class of person excluded from this scheme: persons treated as not being in Great Britain)-

(a)for sub-paragraph (5)(e) substitute-

"(e)a person who has been granted, or who is deemed to have been granted, leave outside the rules made under section 3(2) of the Immigration Act 1971(16) where that leave is-

(i)discretionary leave to enter or remain in the United Kingdom,

(ii)leave to remain under the Destitution Domestic Violence concession(17), or

(iii)leave deemed to have been granted by virtue of regulation 3 of the Displaced Persons (Temporary Protection) Regulations 2005(18);";

(b)omit sub-paragraph (5)(h);

(c)omit sub-paragraph (5)(i);

(d)after sub-paragraph (5)(j) insert-

"(k)a person who is treated as a worker for the purposes of the definition of "qualified person" in regulation 6(1) of the EEA Regulations pursuant to regulation 5 of the Accession of Croatia (Immigration and Worker Authorisation) Regulations 2013(19) (right of residence of a Croatian who is an "accession State national subject to worker authorisation")."

17.  In paragraph 28 (non-dependant deductions: pensioners and persons who are not pensioners)-

(a)in sub-paragraph (1)(a) for "£10.95" substitute "£11.30";

(b)in sub-paragraph (1)(b) for "£3.65" substitute "£3.75";

(c)in sub-paragraph (2)(a) for "£186.00" substitute "£188.00";

(d)in sub-paragraph (2)(b) for "£186.00", "£322.00" and "£7.25" substitute "£188.00", "£326.00" and "£7.50" respectively;

(e)in sub-paragraph (2)(c) for "£322.00", "£401.00" and "£9.15" substitute "£326.00", "£406.00" and "£9.45" respectively.

18.  In paragraph 55(14)(c) (treatment of child care charges), for "Local Government (Scotland) Act 1994" substitute "Local Government etc. (Scotland) Act 1994(20)".

19.  In paragraph 59(4)(a) (calculation of deduction of tax and contributions of self-employed earners), for "sub-paragraph (3)(a) or, as the case may be, (5) of paragraph 58" substitute "sub-paragraph (3)(a) or, as the case may be, (4) of paragraph 58".

20.  In paragraph 64(4)(e) (notional capital), for "paragraph 49(1)(a)" substitute "paragraph 49(a)".

21.  In paragraph 65(10)(b) (diminishing notional capital rule: pensioners), for "sub-paragraph (5)(b)" substitute "sub-paragraph (5)(c)".

22.  In paragraph 70(1) (interpretation), in sub-paragraph (b) of the definition of "full-time course of study" ("cwrs astudio llawn amser"), in the English text, for "Education Act 2012" substitute "Education Act 2002".

23.  In paragraph 78 (treatment of student loans)-

(a)in sub-paragraph (2)(b) omit "and for the purposes of this paragraph, "quarter" ("chwarter") has the same meaning as for the purposes of the Education (Student Support) Regulations 2005";

(b)after sub-paragraph (5) insert-

"(6) For the purposes of this paragraph "quarter" ("chwarter") in relation to an academic year means a period in that year-

(a)beginning on 1 January and ending on 31 March;

(b)beginning on 1 April and ending on 30 June;

(c)beginning on 1 July and ending on 31 August; or

(d)beginning on 1 September and ending on 31 December".

24.  In paragraph 79 (treatment of fee loans), for "Education (Student Support) (Northern Ireland) Order 1988" substitute "Education (Student Support) (Northern Ireland) Order 1998".

25.  In paragraph 97(1) (relationship between extended reduction and entitlement to reduction by virtue of falling within class C or D), in the Welsh text, for "ym mharagraff 93(1)(b)" substitute "ym mharagraff 93(1)(b) (gostyngiadau estynedig: personau nad ydynt yn bensiynwyr)".

26.  For the heading of paragraph 103 "Extended reductions: movers into the authority's area: persons who are not pensioners" substitute "Extended reductions: movers into the authority's area: pensioners and persons who are not pensioners".

27.  In Schedule 2 (applicable amounts: pensioners)-

(a)in column (2) of the Table in paragraph 1 (personal allowance)-

(i)in sub-paragraph (1) for "£145.40" and "£163.50" substitute "£148.35" and "£165.15" respectively;

(ii)in sub-paragraph (2) for "£222.05" and "£244.95" substitute "£226.50" and "£247.20" respectively;

(iii)in sub-paragraph (3) for "£222.05" and "£76.65" substitute "£226.50" and "£78.15" respectively;

(iv)in sub-paragraph (4) for "£244.95" and "£81.45" substitute "£247.20" and "£82.05" respectively;

(b)in column (2) of the Table in paragraph 2 (child or young person amounts), for "£65.62" in each place where it occurs substitute "£66.33";

(c)in the second column of the Table in Part 4 (amounts of premium in Part 3)-

(i)in sub-paragraph (1) for "£59.50" in each place in which it occurs substitute "£61.10" and for "£119.00" substitute "£122.20";

(ii)in sub-paragraph (2) for "£23.45" substitute "£24.08";

(iii)in sub-paragraph (3) for "£57.89" substitute "£59.50";

(iv)in sub-paragraph (4) for "£33.30" substitute "£34.20".

28.  In Schedule 3 (applicable amounts: persons who are not pensioners)-

(a)in column (2) of the Table in paragraph 1 (personal allowances)-

(i)in sub-paragraph (1) for "£71.70" in each place in which it occurs substitute "£72.40" and for "£56.80" substitute "£57.35";

(ii)in sub-paragraph (2) for "£71.70" substitute "£72.40";

(iii)in sub-paragraph (3) for "£112.55" substitute "£113.70";

(b)in column (2) of the Table in paragraph 3 (personal allowances), for "£65.62" in each place in which it occurs substitute "£66.33";

(c)in paragraph 10(2) (additional condition for the disability premium), for "sub-paragraph (1)(a)(vi)" substitute "sub-paragraph (1)(a)(vii)";

(d)in the second column of the Table in Part 4 (amounts of premiums specified in Part 3)-

(i)in sub-paragraph (1) for "£31.00" and "£44.20" substitute "£31.85" and "£45.40" respectively;

(ii)in sub-paragraph (2) for "£59.50" in each place in which it occurs substitute "£61.10" and for "£119.00" substitute "£122.20";

(iii)in sub-paragraph (3) for "£57.89" substitute "£59.50";

(iv)in sub-paragraph (4) for "£33.30" substitute "£34.20";

(v)in sub-paragraph (5) for "£23.45", "£15.15" and "£21.75" substitute "£24.08", "£15.55" and "£22.35" respectively;

(e)in paragraph 23 (amount of work-related activity component), for "£28.45" substitute "£28.75";

(f)in paragraph 24 (amount of support component), for "£34.80" substitute "£35.75".

29.  In paragraph 9(1) of Schedule 6 (sums disregarded in the calculation of earnings; persons who are not pensioners), for "paragraphs 4, 6, 7 and 9" substitute "paragraphs 4, 5, 6 and 7".

30.  In Schedule 7 (sums disregarded in the calculation of income other than earnings: persons who are not pensioners)-

(a)in paragraph 32(e), in the English text, for "section 18" substitute " section 18(2)(c)";

(b)in paragraph 40 for "paragraph 78(3)" substitute "paragraph 80(3)".

31.  In Schedule 8 (capital disregards: pensioners)-

(a)in paragraph 21-

(i)in sub-paragraph (1)(e) for "." substitute ";";

(ii)after sub-paragraph (1)(e) insert-

"(f)by way of occasional assistance including arrears and payments in lieu of occasional assistance.";

(iii)at the end of sub-paragraph (2)(n) omit "or";

(iv)in sub-paragraph (2)(o) for "." substitute ";";

(v)after sub-paragraph (2)(o) insert-

"(p)social fund payments under Part 8 of the SSCBA; or

(q)universal credit.";

(b)in paragraph 22-

(i)in sub-paragraph (2)(d) for "," substitute ";";

(ii)in sub-paragraph (2)(e) for "," substitute ";";

(iii)after sub-paragraph (2)(e) insert-

"(f)paragraph 18 of Schedule 10 to the Universal Credit Regulations 2013(21),";

(c)after paragraph 32 insert-

"33.  Any payment made by the Treasury to the applicant or the applicant's partner under the Age-Related Payments Regulations 2013(22) (Equitable Life) as a qualifying Equitable Life annuitant."

32.  In Schedule 9 (capital disregards: persons who are not pensioners)-

(a)After paragraph 2 insert-

"(2A) Any payment made to the applicant in respect of any travel or other expenses incurred, or to be incurred, by the applicant in respect of the applicant's participation in a scheme prescribed in regulation 3 of the Jobseeker's Allowance (Schemes for Assisting Persons to Obtain Employment) Regulations 2013(23) but only for 52 weeks beginning with the date of receipt of the payment.";

(b)in paragraph 12-

(i)in sub-paragraph (1)(f) for "," substitute ";";

(ii)after sub-paragraph (1)(f) insert-

"(g)universal credit,";

(c)after paragraph 62 insert-

"63.  Any payment made by the Treasury to the applicant or the applicant's partner under the Age-Related Payments Regulations 2013 (Equitable Life) as a qualifying Equitable Life annuitant."

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations amend the Council Tax Reduction Schemes and Prescribed Requirements (Wales) Regulations 2013 ("the Prescribed Requirements Regulations") and the Council Tax Reduction Schemes (Default Scheme) (Wales) Regulations 2013 ("the Default Scheme Regulations") made under section 13A(4) of, and Schedule 1B to, the Local Government Finance Act 1992.

The Prescribed Requirements Regulations require each billing authority in Wales to make a scheme specifying the reductions which are to apply to amounts of council tax payable by persons, or classes of persons, whom the authority considers are in financial need. The Prescribed Requirements Regulations also set out matters that must be included within such a scheme.

The Default Scheme Regulations set out a scheme which will take effect, in respect of dwellings situated in the area of a billing authority, if the authority fails to make its own scheme on or before 31 January 2014.

These Regulations amend the Prescribed Requirements Regulations and the Default Scheme Regulations. The amendments in regulations 5 and 16 amend the list of persons who do not need to show habitual residence, first, to update provision covering persons with leave to remain in the United Kingdom and, secondly, to include those nationals of Croatia who are subject to the worker authorisation scheme and who are treated as workers under that scheme.

The amendments in regulations 6(a), 7, 9(a), 10(a), (b) and (d) to (f), 17, 27 and 28(a), (b) and (d) to (f) increase certain of the figures which are used in calculating whether a person is entitled to a reduction, and the amount of that reduction. The up-rated figures relate to non-dependant deductions (adjustments made to the maximum amount of reduction a person can receive to take account of adults living in the dwelling who are not dependants of the applicant); and the applicable amount in relation to an application for a reduction (the amount against which an applicant's income is compared in order to determine the amount of reduction to which the applicant is entitled).

The amendments made by regulations 8, 11, 31 and 32 provide that certain payments made by local government for welfare purposes, certain arrears of universal credit, and certain age-related payments are disregarded when assessing an applicant's capital.

The amendments in regulations 3, 4, 6(b), 9(b), 10(c), 12, 14, 15, 18 to 26, 28(c), 29 and 30 correct errors that appeared in both the Prescribed Requirements Regulations and the Default Scheme Regulations.

The Welsh Ministers' Code of Practice on the carrying out of Regulatory Impact Assessments was considered in relation to these Regulations. As a result, a regulatory impact assessment has been prepared as to the likely costs and benefits of complying with these Regulations.

A copy can be obtained from the Local Government Finance and Public Services Performance Division, Welsh Government, Cathays Park, Cardiff, CF10 3NQ.