Retail: Business Rates

Lord Harris of Haringey Excerpts

Tuesday 12th February 2013 Lords Chamber

[Lord Harris of Haringey]

My Lords, given the importance of London to the nation’s economy as a driver of economic growth, will the Government address the situation in which more than £2 billion that London businesses pay in business rates is redistributed across the rest of the country, rather than ploughed back into economic development in London?

[Baroness Hanham]

My Lords, I have a feeling of déjà vu about this question, which was asked when we were in opposition for exactly the same reasons. The noble Lord probably answered it. The distribution and the way the rates are set are not entirely a matter for the Government. I know that the mayor is making the representations that the noble Lord has made and which have been made for a number of years in both directions.