Oral Answers to Questions

Rupa Huq Excerpts

Thursday 30th November 2023 Commons Chamber

[Alistair Strathern (Mid Bedfordshire) (Lab)]

4. What steps she is taking to encourage businesses to open outlets on high streets.

[Dr Rupa Huq (Ealing Central and Acton) (Lab)]

7. What steps she is taking to encourage businesses to open outlets on high streets.

[The Parliamentary Under-Secretary of State for Business and Trade (Kevin Hollinrake)]

In addition to small business rate relief, under which businesses with a rateable value of less than £12,000 pay no business rates whatsoever, in his autumn statement the Chancellor announced a further business rate support package, worth £4.3 billion over the next five years, to support small businesses and the high street.

[Kevin Hollinrake]

I thank the hon. Gentleman for his question and welcome him to his place in the House.

Of course, we are very concerned about the high street. The pressures on the high street are largely caused by changing consumer habits, but the Government have stepped in to ease pressures, such as through the £20 billion energy bill support scheme and the £17 billion business rate package.

The hon. Gentleman talks about completely scrapping the current business rate system, which Labour has committed to do, but it is incumbent on Labour to set out how it will replace the £25 billion that business rates currently add to the Exchequer. What is the solution? It is not right for him or others simply to say they will scrap that £25 billion without setting out how they will replace it.

[Dr Huq]

The vanishing of Debenhams, Wilko and Paperchase has left huge holes in our town centres— I have lost a Wilko in both Ealing and Acton. Analysis shows that the incentivisation of out-of-town retail is the culprit. Labour has a five-point plan to revive our high streets, putting communities first. What are the Government doing about all this?

[Kevin Hollinrake]

I do not accept that, although out- of-town shopping can put pressure on the high street. Local authorities have to be very careful when they give planning consent for out-of-town shopping centres that could put pressure on the high street. That is clearly an important part of the planning process, but it is not the responsibility of central Government, of course. I would be interested to see that five-point plan, but if it includes the scrapping of business rates, which raise £25 billion, I ask the Labour Front Bench team once again—I have yet to receive an answer—where is that money coming from?