§ Lord Molloyasked Her Majesty's Government:
Whether they have any evidence that the uniform business rate is harming the financial viability of sub-post offices in rural areas; and if so, what action they propose to take.
§ The Minister of State, Department of the Environment (Baroness Blatch):We accept that many small businesses, including rural sub-post offices, are 37WA affected by the current economic downturn. Many are facing higher costs, including increased rate bills as a result of the non-domestic revaluation. I understand that a Post Office survey has shown a varied effect on rates bills for sub-post offices. Some sub-postmasters have stated that they are better off under the new arrangements.
In view of the concerns expressed about the rating of "community" post offices, valuation officers have checked the assessment of these properties. We have also improved the transitional arrangements for properties in mixed domestic and commercial use to limit year-on-year rates increases to 10 per cent. in real terms; this will benefit many rural post offices.