Commentary on provisions of Act Section 27: Provision about excepted cases
Subsection (1) provides the Secretary of State with a power to make regulations regarding the maximum amount of rent payable by a tenant in a category excepted by regulations under section 24 or paragraph 5 of Schedule 2. Subsection (2) enables the Secretary of State to make regulations setting out the maximum amount of rent payable by a tenant who ceases to be excepted from the rent reduction provisions part of the way through a relevant year. The regulations would deal with the rest of that year and, if there is one, the following relevant year.
	Subsections (3) and (4) provide that the regulations may, in particular, provide for how the maximum rent may be determined and provide for section 23 or Part 1 of Schedule 2 to have effect with modifications. Subsection (5) provides examples of modifications which may be made.
	Subsection (6) sets out that regulations may not modify the 1% annual reduction where it is specified in the Act, and subsection (8) that where an exception to Part 2 of Schedule 2 applies, alternative provision may not impose a maximum rent below the social rent rate.
	Subsections (9) to (12) enable the Secretary of State to make provision for an exemption regime applicable to excepted cases (i.e. provision equivalent to section 25).