Brown "tinkering at the edges" on business rates (York Liberal Democrats)

York Liberal Democrats <info@yorklibdems.org.uk>

Brown "tinkering at the edges" on business rates

May 14, 2008 3:25 PM

Lib Dems in York have accused Gordon Brown of 'tinkering at the edges' following his announcement that a Business Rates Supplement Bill will be put before Parliament as part of the next Queen's Speech.

Under the proposals, announced by the Prime Minister today, local councils would be given powers to levy a surcharge on business rates to encourage economic development.

The Liberal Democrats are concerned that this may hinder the profitability of small businesses, which already suffer from paying business rates. The Liberal Democrats want a review of business rates, and as part of business rates reform would create three classes of shops - with smaller shops being class 1 and supermarkets class 3.

Cllr Ceredig Jamieson-Ball, Lib Dem Exec Member for Corporate Services, said:

"Whilst new powers for Councils are often welcome, Gordon Brown is not taking the radical action that is required. He's simply tinkering at the edges of business rates reform.

"What we need is a review of business rates that will take into account how rates impact on the profitability of a business and its ability to support its owners and employees.

"The Government's proposal is nothing more than an empty political gesture - part of a desperate stunt by a desperate Prime Minister. The Lib Dems have consistently made it clear that local taxes should be set locally, not under the control of central government."

Lib Dem Leader, Nick Clegg, responding to the announcement, said: "Another stir of the legislative pot won't save the Prime Minister. If he wants to devolve power, if he wants to protect us from the economic downturn - he'll have to do a lot better than this."