Business Rates: Devolution

Lord Campbell-Savours Excerpts

Wednesday 21st December 2016 Lords Chamber

[Lord Bourne of Aberystwyth]

My Lords, obviously the consultation is primarily designed to take account of the position of local authorities. That is something we are taking forward. I am sure that feeding through views from retailers will be something local authorities will wish to bring forward in the consultation and discussion we are having.

[Lord Campbell-Savours (Lab)]

My Lords, to follow up on the Question, and given that the new responsibility is placed on local government, do conversations take place with the Treasury as to whether local authorities can afford to take on that responsibility? What is the process? Is everybody involved in the discussion, or is it just one side working against another?

[Lord Bourne of Aberystwyth]

My Lords, the first point I make to the noble Lord is that, although new responsibilities are being talked about, he will recognise that a considerable amount of new finance will be generated by 100% business rate retention. We are talking about some £12.5 billion—a considerable sum. Yes, of course the discussion is both within government and, as I indicated, with our local authority partners.