Citation and commencement

1. These Regulations may be cited as the Tonnage Tax (Training Requirement) (Amendment) Regulations 2007 and shall come into force on 1st October 2007.

Application

2.–(1) These Regulations apply for the purpose of calculating the payments in lieu of training for the purposes of the Tonnage Tax (Training Requirement) Regulations 2000(2) ("the 2000 Regulations") in respect of a relevant four month period falling after 30th September 2007.

(2) In paragraph (1), "a relevant four month period" means a period of four months commencing on 1st October, 1st February or 1st June in any year.

Payments in lieu of training

3.–(1) The 2000 Regulations are amended as follows.

(2) In regulation 15(1)(b) (payments in lieu of training), for "£634" substitute "£652".

(3) In regulation 21(4) (higher rate of payment in case of failure to meet training requirement), for "£577" substitute "£593".

EXPLANATORY NOTE

(This note is not part of the Regulations)

These Regulations further amend the Tonnage Tax (Training Requirement) Regulations 2000 by increasing the amount of the payments which fall to be made in lieu of training. In respect of each eligible officer trainee for whom training is required to be provided under those Regulations, there is to be an increase from £634 to £652, in the amount payable for each month during a relevant four month period commencing on or after 1st October 2007 in which the training commitment of a company or group provides for payment in lieu of training or the company or group does not provide training in accordance with its training commitment. Where a company or group is treated as having failed to meet its training commitment and the higher rate of payment applies, the basic rate to be used in the calculation is increased from £577 to £593.

A full impact assessment has not been prepared for this instrument as it only provides for increases in line with the rate of inflation before being rounded up to the nearest pound.