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C: Technical Annex on Proposed Area Cost Adjustment (ACA) Equations
Updated 20 June 2025
Applies to England
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Equation 1: Proposed regression specification for the Rates Cost Adjustment (RCA)
Where:
Equation 2: Proposed regression specification for the Labour Cost Adjustment (LCA)
Equation 3: Proposed calculation of the final ACA with the Remoteness Adjustment for Local Authority ‘i’
Where:
And, for Equation 3:
