Oral Answers to Questions

Alex Cunningham Excerpts

Monday 24th October 2016 Commons Chamber

[The Parliamentary Under-Secretary of State for Communities and Local Government (Mr Marcus Jones)]

This is a reform for which local government has long campaigned and in which my hon. Friend has shown great interest. To deliver the commitment, we held an open consultation that invited councils and businesses to have their say and have established a joint steering group with the Local Government Association to consider the mechanisms needed to set up and run the new system.

[Alex Cunningham (Stockton North) (Lab)]

T4. The revaluation of property for business rates is creating uncertainty for businesses and local authorities. Stockton faces two different problems: small leisure businesses have been priced out of our town centre; and telecommunications companies are fighting their valuations, potentially knocking huge holes in the council’s budget. How will small businesses be protected? Will the Minister assure me that the 2017-18 finance settlement will take future valuations and changes into account so that Stockton Council will be no worse off?

[Mr Jones]

The hon. Gentleman is confusing two issues. On business, there is a record package of £6.7 billion of business rates relief. On local government funding, I assure him that the revaluation process is a revenue- neutral exercise after which no local authority will be disadvantaged.