Clause 63 - Small business relief
Local Government Bill
3:51 pm
Mr Geoffrey Clifton-Brown (Cotswold, Conservative)
The problem with small business relief, which we strongly support, is that it has to be funded out of the overall pot of national non-domestic rates. That effectively means that big businesses subsidise smaller ones that receive such relief but might well be competing against those big businesses. It might be prudent to maintain the
discretion—not the duty—to allow separate funding for small business relief. As I understand it, the clause removes that discretion.
I am sure that the hon. Member for Kingston and Surbiton is aware of this, but the explanatory notes reminded me that mandatory rate relief of 50 per cent. is available for properties up to £3,000 of the rateable value and will decline on a sliding scale as the rateable value increases, with no relief above £8,000.