Oral Answers to Questions

Chris Bryant Excerpts

Tuesday 19th July 2016 Commons Chamber

[Jane Ellison]

I congratulate my hon. Friend on taking such a close interest in what will boost her local economy. The Government have announced that they will devolve 100% of business rate revenues to local government. The details are subject to consultation, and the consultation document was published by the Department for Communities and Local Government earlier this month. She and her local council may well want to contribute to that consultation, and she may want to make the point that she made so well just now.

[Chris Bryant (Rhondda) (Lab)]

Some of the richest areas in the country find it easiest to raise money through the business rate system. If we are not to perpetuate poverty and the gap between rich and poor parts of the country, do not the Government, if they are going to proceed with this, have to make sure that there are proper balancing mechanisms? Otherwise, the problems that we have seen in so many parts of the country, which feel completely forgotten and left aside, will be perpetuated for future generations.

[Jane Ellison]

I am very well aware of the point that the hon. Gentleman makes. In my previous role, I had responsibility for the public health grant, and those points were made in that context on several occasions. We have an open consultation on business rates retention. We are aware of that issue, and the existing system of redistribution will be continued in some form. Obviously, that is something at which we will look closely.