Mr. William O'BrienTo ask the Secretary of State for the Environment what assistance he can offer to any business which is facing economic difficulties because of high increases in business rates; and if he will make a statement.
§ Mr. Robert B. JonesThe 1995 revaluation of all non-domestic property takes effect on 1 April. Transitional relief will ensure that rate bills will not rise because of the revaluation by more than 10 per cent. a year after allowing for inflation. Maximum increases for properties with a rateable value less than £10,000£15,000 in Greater London—will be 7.5 per cent. after allowing for inflation. The Government have pledged some £500 million towards the cost of the relief for England in 1995–96.
Mr. William O'BrienTo ask the Secretary of State for the Environment if he will make a statement on the impact the increased valuation of non-domestic properties will have on business in Yorkshire.
§ Mr. Robert B. JonesWe estimate that without transitional relief, the average increase in rates bills in 1995–96 as a result of the 1995 revaluation for North468W Yorkshire, South Yorkshire and West Yorkshire taken together would have been 36 per cent. Transitional arrangements will limit these increases to 7.5 per cent., after allowing for inflation, for property with a rateable value below £10,000. Property with a rateable value above these thresholds will have increases limited to 10 per cent. after allowing for inflation. The average increase in rate bills in Yorkshire after transitional relief is 9 per cent. This relief is worth £185 million.