Telecommunications Infrastructure (Relief from Non-Domestic Rates) Bill

Edward Argar Excerpts

3rd reading: House of Commons & Committee: 1st sitting: House of Commons & Report stage: House of Commons
Tuesday 5th September 2017 Commons Chamber

[Mr Jones]

I will just make some progress first, if I may.

The Bill contains six clauses. Clauses 1 to 3 provide the powers for the relief, and clauses 4 to 6 cover consequential and financial matters. Business rates are payable on three classes of properties: first, occupied properties shown on the local rating lists held by local authorities; secondly, unoccupied properties shown on local rating lists; and, thirdly, properties on the central list, which is held by my Department.

The main business rates legislation in the Local Government Finance Act 1988 contains separate provisions for charging rates on those three classes. Clauses 1 to 3 provide powers to allow relief in those three classes. Clause 1 allows for relief for occupied hereditaments shown on local ratings lists. Clause 2 allows for relief for unoccupied hereditaments shown on local ratings lists. Clause 3 allows for relief for hereditaments on the central list.

Clauses 1 to 3 have similar structures and serve the same purpose. First, the powers in the clauses will allow the Secretary of State to set conditions as to when the relief will apply. This is not a wide-ranging power covering all properties. The power can be used only for telecommunication hereditaments. Through these powers we will target the relief on operators of telecoms networks who deploy new fibre on their networks. That will incentivise and reward those operators who invest in the fibre network.

[Edward Argar (Charnwood) (Con)]

In that context, could the Minister clarify something for me? The Bill says the relief will apply to hereditaments used “wholly or mainly” for the purpose of telecommunications. Is a standardised definition of “mainly” extant in legislation, or could he enlarge on what it would be defined as?

[Mr Jones]

I think it would be best for me to reassure my hon. Friend that the sole purpose of this legislation is to cover telecommunication hereditaments. As he has heard, the aim is for the Government to provide a targeted, five-year rate relief to incentivise the laying of new fibre cable, which will hopefully serve and support his constituents in Leicestershire.