§ Mr. Corrieasked the Secretary of State for Scotland whether lands and heritages which straddle enterprise zone boundaries are eligible for the exemption from rates which applies to industrial and commercial property in the zones.
§ Mr. YoungerThe Government's intention has been that the exemption from rates applicable to non-domestic lands and heritages in enterprise zones should apply to those parts of straddling lands and heritages lying inside the zones. It appears, however, that the legislation governing the rates exemption—schedule 32 to the Local Government, Planning and Land Act 1980—is defective in that it does not provide a statutory basis for such partial exemptions. Amending legislation to remedy this defect will be introduced as soon as the parliamentary timetable allows.
In the meantime, therefore, with the agreement of the Treasury, I propose to give effect to the intention of the 89W legislation for Scotland by making extra-statutory payments to the only rating authority concerned. An informal apportionment has been made of the rateable value of those lands and heritages straddling the boundary of an enterprise zone and the rating authority concerned is granting rating relief in respect of the portion inside the zone. My Department will reimburse the authority for this relief. This process of apportionment will apply only to rating; it does not affect any of the other benefits available within enterprise zones.
The Scottish Office Appropriation Accounts will be noted at the end of the financial year to show the sums involved, which I estimate might amount to about £100,000 in 1981–82 and about £180,000 for 1982–83, which we hope it will be possible to pay on a statutory basis following amendment of the 1980 Act.