Joint Committee on Statutory Instruments Fifth Report


APPENDIX IX

Memorandum by the Scottish Office


RURAL DIVERSIFICATION PROGRAMME (SCOTLAND) AMENDMENT REGULATIONS 1997 (S.I. 1997/722)

  1. This Memorandum is submitted to the Joint Committee on Statutory Instruments in response to their letter of 18 June in which they asked for an explanation of the following point arising in connection with the Rural Diversification Programme (Scotland) Amendment Regulations 1997 (S.I. 1997/722) ("the Regulations").

    "The Explanatory Note states that the effect of the amendment made by regulation 2 is that where the diversification measure undertaken is aquaculture, the amount of financial assistance payable under the principle regulations S.I. 1995/3295 shall not exceed 40% of the eligible expenditure. Are not the italicised words incorrect, given that the effect of the amendment is that the amount of financial assistance payable is 40% of the eligible expenditure in the case of aquaculture (and in the case of any other diversification measure, 50% of such expenditure) subject to the ceiling imposed by regulation 7(2)(b) of the principal regulations?"

  2. The view is taken that the italic words are not incorrect since the position is that the amount of financial assistance payable where the measure is aquaculture may be less than 40% of the eligible expenditure. It is accepted, however, that the formula "is 40% . . . subject to the ceiling imposed by regulation 7(2)(b) of the principal Regulations" offers greater assistance to the reader of the Explanatory Note in that it specifies the limited nature of that possibility.

20th June 1997


 
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