Budget 2016: Committee Chair concerned about business rates proposals
16 March 2016
Budget 2016: Clive Betts MP, Chair of the Communities and Local Government Committee, raises concerns on the impact to local government income from the Chancellor's business rates proposals.
- Letter from Committee Chair to Secretary of State regarding the Budget, dated 16 March 2016
- Inquiry: Business rates
- Communities and Local Government Committee
Clive Betts MP, Chair of the Communities and Local Government Committee, has written to Greg Clark, Secretary of State for DCLG, to press the Government on the impact to local authority funding arising from the Chancellor's announcement on business rates.
Clive Betts asks Greg Clark to confirm that local authorities will be compensated in full for the loss of income as a result of the Budget's business rates measures and that no local councils will be worse off as a result.
The Committee Chair also calls on the Secretary of State to confirm that he will take into account the likely longer-term reduction in business rates income for local authorities when considering both the additional responsibilities to be devolved to local councils and any redistribution scheme for business rates.
Chair's comments
Clive Betts MP, Chair of the Communities and Local Government Committee, said:
"Our current inquiry on business rates examines what responsibilities should be devolved to local authorities in return for the increased funding. We're also looking at what measures should be introduced to ensure local areas with less ability to generate business rates income do not suffer as a result of allowing local authorities to retain 100 per cent of the full stock of business rates by 2020.
Given the Budget news today, it's important for local authorities, and the communities they serve, that the Secretary of State confirms that no councils will be worse off as result of the business rate measures announced by the Chancellor today."
Response from Secretary of State
The Secretary of State, Greg Clark, wrote to Clive Betts, Chair of the Communities and Local Government Committee, on 22 March 2016.
Further information
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