Local Government Finance Bill

Debate between Earl of Lytton and Baroness Donaghy

Thursday 5th July 2012 Grand Committee

[Baroness Donaghy]

May I ask for further clarification? The Minister indicated that the appeals losses would be included in the initial tariffs and top-ups. Obviously, one accepts, as she said, that you cannot give an accurate figure for something that will happen in the future. However, there must be some basis on which the assessment will be made. Will it be based on an average across the country of previous appeals under another system—a completely different system? Will it be based on a figure plucked from the air, or the rate of inflation? There has to be some understanding of how that assessment will be approached—some framework—even though, as we all know, you cannot forecast the future.

[The Earl of Lytton]

My Lords, before the Minister responds to that, we are in danger of losing sight of some of the basic geometry of what has happened here, which was alluded to by the noble Lord, Lord True. He talked about an event that caused the complete recalculation of a large part of the rate base for his authority. I have explained before that it customarily takes about two years from when you lodge an appeal against a non-domestic assessment before the valuation officer has the time to start discussions. That is not the time that it takes to get to the tribunal; that is the time in which you might get a substantive response. The time that it takes to get to an appeal may depend on various other things, including whether it is grouped with certain like matters.