keep RULES FOR DETERMINATION OF SCHEDULES OF INSTALMENTS
These Regulations govern the financial management of local authority collection funds in England. They prescribe how charging authorities (e.g., district councils) must schedule and make payments to precepting authorities (e.g., county councils, parish councils) from their collection fund, including rules for determining instalment schedules, interest on late payments, and investment of surplus funds. It's a technical framework for inter-local government cash flow and liability settlement.
Repeal would create fiscal chaos and payment uncertainty between thousands of overlapping local authorities. The regulation ensures predictable cash flow, prevents arbitrary withholding of funds, and establishes clear deadlines and interest penalties that maintain financial discipline. Without these rules, lower-tier councils could delay or manipulate payments to precepting authorities, disrupting services like waste collection, planning, and social care that rely on stable funding. The interest mechanism based on commercial rates (LIBOR+2%) appropriately compensates for late payment without distorting market incentives.