Mr. RobertsonTo ask the Secretary of State for the Environment, Transport and the Regions if he will make a statement about rate relief for businesses in rural areas. [112248]
§ Ms ArmstrongMandatory rate relief of 50 per cent. is available to the sole village shop or post office in a qualifying settlement (one which is in a designated rural area and has a population of fewer than 3,000), provided the property has a rateable value less than £5,000. Local authorities have the discretion to provide additional relief up to 100 per cent. of the rates bill.
779WLocal authorities also have the discretion to provide rate relief of up to 100 per cent. to any other business in a qualifying settlement, which they consider to be of benefit to the community, provided the property concerned has a rateable value less than £10,000.
These rateable value thresholds will be increased to £6,000 and £12,000 respectively on 1 April 2000, when Revaluation takes effect, giving all non-domestic properties in England new rateable values. The thresholds are being increased broadly in line with the overall effects of the revaluation on properties of the size affected, to ensure that no one loses eligibility for rate relief as a result of the general movement in property values.
Rate relief is one of a number of issues affecting rural businesses which will be considered in preparing the forthcoming Rural White Paper.