Business Rates Hardship Fund

Baroness Pinnock Excerpts

Wednesday 19th July 2017 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, my noble friend is right, and we are going to look at possible reforms to the rating system during this Parliament. In the meantime, the Government have been very clear—in 2016 through a package of £9 billion-worth of relief, and again in 2017, with £435 million-worth of relief—on how we can ensure that assistance goes to businesses on our hard-pressed high streets. Once again, I encourage local authorities to pass that money on.

[Baroness Pinnock (LD)]

Would the Minister confirm that one problem with implementing the business rates relief is with the IT software provided to local councils by private suppliers? Secondly, he will be aware that this grant system is over a four-year funding regime that tapers towards the end of that period. Is he willing for there to be flexibility in the year-on-year funding—in other words, if there is underspend one year to push it over into the next year—so that businesses do not lose out?

[Lord Bourne of Aberystwyth]

My Lords, the noble Baroness raises a variety of issues. The issue about software relates to just the small business rate relief; it would not apply to the discretionary relief so is not an issue there. My honourable friend the Minister, Marcus Jones, contacted software providers yesterday to indicate that we expect them to ensure that bills are reissued by 21 August. In relation to points made earlier about a further month, I think that is fair. On the issue about the system in relation to the other relief package, clearly it is important that that money is passed on. We seek to ensure that that is done. I will write to her about flexibility, but that seems a fair point within the package. At the moment, the important point is that local authorities have the allocations and they should pass on that money.