HC Deb 05 July 2002 vol 388 c645W
Chris Grayling

To ask the Deputy Prime Minister what his policy is on the future of NDR and rate support grant. [65673]

Mr. Raynsford

In the draft local government Bill, we have set out our proposals to provide general grant support to local authorities through a single grant stream, to be known as Formula Grant, instead separate support streams comprising redistributed national non-domestic rates (NNDR) and Revenue Support Grant (RSG).

We believe that this will simplify the grant distribution system, so making it more intelligent and transparent.

The proposed merger would have no effect on the collection of business rates or on the total amount being redistributed. Neither would it reduce accountability, as we would continue to publish details of the total amount of business rates being redistributed and to maintain the existing formal accounts covering receipts and payments.