§ Mr. Damian GreenTo ask the Secretary of State for Transport, Local Government and the Regions what plans the Government have to increase the scope of business rate relief for rural services. [836]
§ Dr. WhiteheadThe Rating (Former Agricultural Premises and Rural Shops) Act 2001 will introduce a new scheme of rate relief for new, small-scale farm diversification enterprises. It will also extend the mandatory element of the village shop rate relief scheme to all food shops with rateable value of no more than £9,000 in a designated rural settlement with population up to 3,000. We intend to commence the provisions of the Act in the near future. At the same time, we will increase the flat rate discount for premises used for the breeding and rearing of horses and ponies to £3,000 rateable value.
Since 5 April 2001, mandatory relief under the village shop rate relief scheme has been available to the sole pub or petrol station with rateable value of no more than £9,000 in a designated rural settlement with population up to 3,000. Earlier this year we consulted on a proposal to extend the agricultural rating exemption to ensure it included share and contract farming and machinery rings. We are currently considering this in the light responses received. The extension would require primary legislation.