A Guide to Awarding Dispensations

2012

1. Introduction

Parish Councils are now responsible for determining requests for a dispensation by a parish councillor under Section 33 of the Localism Act 2011. This is because they are a “relevant authority” under section 27(6)(d) of the Act.

This guide explains:

  1. the purpose and effect of dispensations;
  2. the procedure for requesting dispensations;
  3. the criteria which are applied in determining dispensation requests;
  4. the terms of dispensations.

2. Purpose and Effect of Dispensations

In certain circumstances Councillors may be granted a dispensation which enables them to take part in Council business where this would otherwise be prohibited because they have a Non Disclosable or Non Registerable Pecuniary Interest.

Provided Councillors act within the terms of their dispensation there is deemed to be no breach of the Code of Conduct or the law.

Section 31(4) of the Localism Act 2011 states that dispensations may allow the Councillor:

  1. to participate, or participate further, in any discussion of the matter at the meeting(s); and/or
  2. to participate in any vote, or further vote, taken on the matter at the meeting(s).

If a dispensation is granted, the Councillor may remain in the room where the meeting considering the business is being held and, if the dispensation allows, may also vote.

Please note: If a parish councillor participates in a meeting where he/she has a Disclosable Pecuniary Interest and he/she does not have a dispensation, they may be committing a criminal offence under section 34 of the Localism Act 2011.

3. Process for Making Requests

Any Councillor who wishes to apply for a dispensation must fully complete a Dispensation Request form and submit it to the Proper Officer of the council, i.e. the Clerk, as soon as possible before the meeting at which the dispensation is required.

Applications may also be made at the parish council meeting itself, if parish councils have a standing item on the agenda to deal with dispensation requests and the nature of the interest has only become apparent to a councillor at the meeting itself.

4. Consideration by the Parish Council

The Parish Council can either delegate to the parish clerk the authority to grant dispensations or reserve such decisions for the full parish council.

In either case, the decision must be based on one or more of the following criteria:

  1. so many members of the decision-making body have Non Disclosable or Non Registerable Pecuniary Interests that it would impede the transaction of the business, i.e. the meeting would be inquorate; or
  2. the authority considers that the dispensation is in the interests of persons living in the authority’s area; or
  3. it is otherwise appropriate to grant a dispensation.

The parish clerk or parish council should formally notify the Councillor and the Monitoring Officer of its decision and reasons in writing at the earliest opportunity and in any event within 5 working days of the decision. A copy of any dispensation should be held with the Member’s Register of Interests.

Delegation to the Clerk

If the parish council decides to delegate this role to the parish clerk then it will need to make a formal resolution to this effect, on the lines of:

RESOLVE that the Council delegates the power to grant dispensations to the Clerk. The power rests with the relevant authority under section 33(1) of the Localism Act 2011 and the basis is set out under section 33(2).

5. Criteria for Determination of Requests

In reaching a decision on a request for a dispensation the parish council or the parish clerk, as appropriate, will take into account:

  1. the nature of the Councillor’s prejudicial interest;
  2. the need to maintain public confidence in the conduct of the Council’s business;
  3. the possible outcome of the proposed vote;
  4. the need for efficient and effective conduct of the Council’s business;
  5. any other relevant circumstances.

6. Terms of Dispensations

Dispensations may be granted:

  • for one or more meetings of the Council; or
  • for a named period not exceeding 4 years, normally the annual meeting after the next elections.

7. Disclosure of Decision

Any Councillor who has been granted a dispensation must declare the nature and existence of the dispensation before the commencement of any business to which it relates.

A copy of the dispensation will be kept with the Register of Councillors’ Interests.