Telecommunications Infrastructure (Relief from Non-Domestic Rates) Bill Debate

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Department: Ministry of Housing, Communities and Local Government
Consideration of Lords amendments
Baroness Laing of Elderslie Portrait Madam Deputy Speaker (Mrs Eleanor Laing)
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I must draw the House’s attention to the fact that financial privilege is engaged by Lords amendments 1 to 13. If any Lords amendment is agreed to, Mr Speaker will cause the customary entry waiving Commons financial privilege to be entered in the Journal.

I also remind the House that certain of the motions relating to the Lords amendments will be certified as relating exclusively to England and Wales, as set out on the selection list. If the House divides on any certified motion, a double majority will be required for the motion to be passed.

Clause 1

Relief from local non-domestic rates: occupied hereditaments

Baroness Laing of Elderslie Portrait Madam Deputy Speaker
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With this we may take Lords amendments 2 to 13.

Rishi Sunak Portrait Rishi Sunak
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It is an honour to begin my first Bill as a Minister. The Government have been and remain relentless in our pursuit of seeing every home in Britain provided with a decent broadband connection. My right hon. Friend the Member for Wantage (Mr Vaizey) is not in his place, which is a first for a broadband debate in this Chamber in recent times, but thanks to the good work he started, by the end of last year around 95% of premises had superfast broadband.

Under the universal service obligation introduced by this Government, every home in Britain will gain access to a high-speed connection within the next three years. That goal is indispensable to creating a cohesive, modern and economically vibrant Britain, and this Bill is another important step in ensuring we achieve just that.

At the autumn statement in 2016 the Chancellor announced a rate relief scheme for new telecom fibre. The relief will apply for five years, retrospectively from 1 April 2017, and it forms part of a wider package of support for digital infrastructure worth £1.1 billion.

The Bill provides us with the powers needed to introduce the relief scheme, and the relief itself will be introduced by technical regulations. In September 2017 we published detailed draft regulations for consultation. My Department is now considering responses to that consultation and is holding further discussions with stakeholders on the details. I am pleased to report to the House that the responses have been very positive, and I can therefore confirm that we will be ready to introduce the relief scheme shortly after the Bill receives Royal Assent.

As hon. Members will recall, the Bill received wide- spread support when it was considered by the House last year, and that support continued through the debates in the Lords. The Lords amendments make a helpful improvement by ensuring the five-year relief period appears in the Bill, as Opposition parties called for and as welcomed by my ministerial colleague Lord Bourne of Aberystwyth. The amendments will give telecom operators the added assurance that the relief scheme will operate for five years.

The amendments will still allow us to extend the period of the rate relief beyond five years, if we wish, through secondary legislation. Stakeholders wished to see that ability retained in the Bill, and it means that if the Chancellor wants to repeat or extend the relief scheme, we can do so quickly without a further Bill but still with the approval of Parliament. As a tax measure, it will of course be for the Chancellor to decide in the future if such a repetition or extension is desirable.

I commend the amendments to the House.