Non-domestic Rates

HC Deb 23 January 1991 vol 184 cc239-41W

Mr. Bill Walker

To ask the Secretary of State for Scotland, following his announcement of increased assistance for business ratepayers, if he will make a statement on non-domestic rates for 1991–92.

Mr. Ian Lang

I am delighted that the additional resources which have become available to me allow greater progress to be made next year towards full harmonisation of non-domestic rates. The reduction of £100 million which I announced to the House on 17 January is more than twice what we included in the spending plans made last year and will mean a significant reduction in the gap between rate burdens north and south of the border. In spite of this major increase in funding, local authorities are still being asked to contribute only £10 million through efficiency savings.

	1 1990–91 poundages	2 1991–92 Pre-NNDR reduction	3 1991–92 poundages	4 1991–92 poundages at ratepayer level	5 Reduction to ratepayer
Borders	36.0	39.9	36.5	—	—
Central	41.7	46.2	42.3	—	—
Dumfries and Galloway	38.3	42.5	38.9	—	—
Fife	46.1	51.1	46.8	—	—
Grampian	34.2	37.9	34.7	—	—
Highland	41.3	45.8	41.9	—	—
Lothian	47.5	52.7	48.2	—	—
Strathclyde	46.0	51.0	46.7	—	—
Tayside	43.0	47.7	43.6	—	—
Berwickshire	7.5	8.3	7.6	44.1	4.1
Ettrick and Lauderdale	8.5	9.4	8.6	45.1	4.2
Roxburgh	9.4	10.4	9.5	46.0	4.3
Tweedale	7.2	8.0	7.3	43.8	4.1
Clackmannan	14.9	16. 5	15.1	57.4	5.3
Falkirk	12.2	13.5	12.4	54.7	5.0
Stirling	18.1	20.1	18.4	60.7	5.6
Annandale and Eskdale	9.1	10.1	9.2	48.1	4.5
Nithsdale	9.1	10.1	9.2	48.1	4.5
Stewartry	7.9	8.8	8.0	46.9	4.4
Wigtown	7.4	8.2	7.5	46.4	4.3
Dunfermline	10.1	11.2	10.2	57.0	5.3
Kirkcaldy	12.6	14.0	12.8	59.6	5.5
North East Fife	11.3	12.5	11.5	58.3	5.3
Aberdeen City	11.0	12.2	11.2	45.9	4.2
Banff and Buchan	9.8	10.9	9.9	44.6	4.2
Gordon	7.9	8.8	8.0	42.7	40
Kincardine and Deeside	6.5	7.2	6.6	41.3	3.8
Moray	8.2	9.1	8.3	43.0	4.0
Badenoch and Strathspey	6.3	7.0	6.4	48.3	4.5
Caithness	9.8	10. 9	9.9	51.8	4.9
Inverness	7.5	8.3	7.6	49.5	4.6
Lochaber	11.4	12.6	11.6	53.5	4.9
Nairn	6.3	7.0	6.4	48.3	4.5
Ross and Cromarty	9.8	10.9	9.9	51.8	4.9
Skye and Lochalsh	9.4	10.4	9.5	51.4	4.8
Sutherland	7.1	7.9	7.2	49.1	4.6
East Lothian	13.4	14.9	13.6	61.8	5.8
Edinburgh City	13.1	14.5	13.3	61. 5	5.7
Midlothian	13.4	14.9	13.6	61.8	5.8
West Lothian	11.8	13.1	12.0	60.2	5.6
Argyll and Bute	14.9	16. 5	15.1	61. 8	5.7
Bearsden and Milngavie	10.3	11.4	10.4	57.1	5.3
Clydesbank	15.3	17.0	15.5	62.2	5.8

The table shows the rate poundage which I intend to prescribe for each local authority in regulations that I shall lay before Parliament shortly. These regulations will revoke those made last week. The rate poundage reductions apply across the board to all authorities with the exception of Shetland where a reduction of about 6 per cent., around two thirds of the average, is sufficient to bring the local rate into line with next year's national non-domestic rate in England of 38.6p. There will, therefore, be no need for reductions in the Shetland rate poundage in future years under this policy and the number of areas in Shetland's position will increase as the policy proceeds to its conclusion.

As I also announced on 17 January, as a result of the larger reduction in poundages than previously intended I propose to reduce the level of derating next year from its present level of 35 to 30 per cent., not 32 per cent. I have already indicated that I intend reviewing the way in which poundages and derating may be reduced in future and the powers available to me, which do not allow me at the present time to set different levels of industrial derating in different areas within Scotland, and I would welcome the views of interested bodies on these matters.

	1 1990–91 poundages	2 1991–92 Pre-NNDR reduction	3 1991–92 poundages	4 1991–92 poundages at ratepayer level	5 Reduction to ratepayer
Clydesdale	13.2	14.6	13.4	60.1	5.5
Cumbernauld and Kilsyth	13.0	14.4	13.2	59.9	5.5
Cumnock and Doon Valley	13.4	14.9	13.6	60.3	5.6
Cunninghame	16.1	17.9	16.3	63.0	5.9
Dumbarton	14.9	16.5	15.1	61.8	5.7
East Kilbride	11.2	12.4	11.4	58.1	5.3
Eastwood	7.9	8.8	8.0	54.7	5.1
Glasgow City	20.9	23.2	21.2	67.9	6.3
Hamilton	14.2	15.7	14.4	61.1	5.6
Inverclyde	12.6	14.0	12.8	59.5	5.5
Kilmarnock and Loudoun	13.0	14.4	13.2	59.9	5.5
Kyle and Carrick	13.4	14.9	13.6	60.3	5.6
Monklands	14.2	15.7	14.4	61.1	5.6
Motherwell	12.9	14.3	13.1	59.8	5.5
Renfrew	14.2	15.7	14.4	61.1	5.6
Strathkelvin	12.6	14.0	12.8	59.5	5.5
Angus	10.6	11.8	10.8	54.4	5.1
Dundee City	16.9	18.7	17.1	60.7	5.7
Perth and Kinross	11.0	12.2	11.2	54.8	5.1
Orkney	39.3	43.6	39.9	39.9	3.7
Shetland	37.1	41.1	38.6	38.6	2.5
Western Isles	57.6	63.9	58.4	58.4	5.5