Clause 13
Business Rate Supplements Bill
6:15 pm
John Healey (Minister of State (Local Government), Department for Communities and Local Government; Wentworth, Labour)
I can understand that the hon. Gentleman would be concerned if the apportionment bases were different for the BRS and the business rate, not least because he would worry about what effect that would have on the formulae, but the apportionments have the same basis. The valuation for the authority, which is referred to in the previous clause as undertaking the apportionment, will of course be the valuation of an agency specialist, so I think that I can reassure him that we will not have the problem that he is concerned about.
The formulae deal with the calculation of the liability according to different reliefs that may be in place. Subsection (3) deals with occupied properties to which small business rate relief is granted. Subsection (4) does the same for charities and community amateur sports clubs where there is mandatory relief. Subsection (5) deals with occupied properties where mandatory rural rate relief is applicable and subsection (6) does the same for empty properties. Just to be clear, subsection (6) applies only when the Secretary of State or, in Wales, the Welsh Ministers make an order under section 45(4A) of the Local Government Finance Act 1988, which reduces the liability for national non-domestic rates of empty property owners to less than 100 per cent. of the basic liability. Finally, subsections (7) and (8) deal with properties where discretionary relief or hardship relief have been granted in respect of the business rate payer’s main business rates liability. I hope that that helps the Committee.