§ Mr. SnapeTo ask the Secretary of State for the Environment, Transport and the Regions when he expects to announce the decapitalisation rates to be used in non-domestic rates for the 2000 revaluation. [102849]
§ Ms ArmstrongIn August we published in a consultation paper our proposals on the decapitalisation rates to be used in non-domestic rates for the 2000 revaluation. The proposal to prescribe the rates was widely supported and, after considering the points made to us, we have decided to retain the current rates of 5.5 per cent. for most properties and 3.67 per cent. for educational, health care and Ministry of Defence properties.
However, many respondents felt that the proposal to prescribe rates for only certain types of properties could lead to increased uncertainty. As a result, the benefits of the prescribed rates could be lost. Therefore, after reconsidering this, we have decided that the prescribed 104W rates should apply to all properties assessed on the contractors basis of valuation. This continues the arrangements currently in force for the 1995 rating list.
Regulations implementing this decision will be made shortly.