Domestic Rates (Hansard, 21 June 1978)

§ 1. Mr. Teddy Taylor
asked the Secretary of State for Scotland what estimate he has made of the average domestic rate payment per householder in the current financial year; and what were the comparable amounts five and 10 years previously.

The Secretary of State for Scotland (Mr. Bruce Milan)
I estimate that the average domestic rate payment per householder in Scotland in 1978–79 will be about £119, excluding domestic water rate, which is a decrease of £9 compared with about £128 last year. The comparable figures for 1973–74 and 1968–69 were £65 and £41 respectively.

§ Mr. Taylor
Does the right hon. Gentleman agree that rates have now become an intolerable burden for many families, particularly in areas hard hit by revaluation which have not had the advantage of the overall reduction to which he referred? Since the Government have now had the Layfield Report for a considerable time, can he say whether there are any plans to review the rating system?

Mr. Milian
We have already said that there are certain aspects of the rating system which we shall continue to examine, but we have no plans to replace or modify it in a significant way. 440 I had hoped that the hon. Gentleman would acknowledge the reduction in domestic rates in the current year. If he is worried, as no doubt he is, about the burden of rates on householders, I am sure he will welcome the reduction.

§ Mr. Grimond
Does the Secretary of State agree that his figures show huge discrepancies in the rate burden in Scotland? Certainly in my constituency there has been a steep increase in rates. When the Government examine the Layfield Report, will they look at alternative methods of raising local government finance, as suggested in that report?

Mr. Milian
That subject has been gone over in a detailed fashion in recent years. The Layfield Committee came to the conclusion that the rating system should continue. I am aware that in different parts of Scotland revaluation has had varying consequences, including the consequences experienced in the right hon. Gentleman's constituency. However, domestic ratepayers overall are paying less this year than they paid last year.

§ Mr. Lambie
Is my right hon. Friend aware that certain business men in Troon have stated that the Strathclyde assessor has acted illegally in using capital values instead of rental values in determining the valuation of properties in Troon? In view of that fact, will my right hon. Friend reconsider his previous decision not to hold a public inquiry into the rate position in areas such as Cunninghame, and especially in the town of Troon?

§ Mr. Millan
I do not see the need for a public inquiry. I repeat what I have said on numerous occasions previously—that those who are dissatisfied with their valuations should appeal. There is a statutory appeal procedure, and that is the way to go about the matter. I hope that those who are dissatisfied will use the procedure.

§ Mr. MacCormick
Does the right hon. Gentleman agree that his answer to the question put to him by the hon. Member for Glasgow, Cathcart (Mr. Taylor) will make sick reading to the people of Argyll, whose rates have increased hugely, partly as a consequence of the current revaluation? Does he appreciate that his answer is akin to the posture 441 adopted by Nero who fiddled while Rome burned?

Mr. Milan
The hon. Member for Argyll (Mr. MacCormick) has a Question on this subject later on the Order Paper, namely, Question No. 19. We should wait until then and save time.