Business Rate Retention Scheme
Communities and Local Government
Brandon Lewis (Great Yarmouth, Conservative)
I am today publishing for consultation, drafts of the key regulations that will underpin the business rates retention scheme.
The scheme will give all councils a strong incentive to go for growth and could add a £10 billion boost to the wider economy by 2020.
The publication of these regulations in draft form is intended to give local authorities and interested parties greater clarity about the detailed implementation and operation of the scheme. It will also give local authorities the opportunity to make comments on the draft regulations, to help ensure that they work as intended so that billing authorities are able to implement the scheme smoothly.
Five sets of regulations are being published in draft form today:
The Non-Domestic Rating (Rates Retention) Regulations 2012 —which include the key income definition for the purposes of calculating central, billing authority and major precepting authority shares, the making of payments and operation of billing authorities’ collection funds under the rates retention scheme.
The Non-Domestic Rating (Levy and Safety Net) Regulations 2012—which provide for calculating whether levy or safety net payments from/to an authority are due and the amount of any such payments, including provision for safety net payments on account.
The Non-Domestic Rating (Transitional Protection Payments) Regulations 2012—which make provision for payments to/from local authorities where their income is less/more as a result of the operation of transitional arrangements.
The Non-Domestic Rating (Designated Areas) Regulations 2012 —which enable local authorities to retain a greater proportion of the income in enterprise zones and new development deal areas. They also provide the means by which authorities will be reimbursed for qualifying rate relief given to ratepayers in enterprise zones.
The Non-Domestic Rating (Renewable Energy Projects) Regulations 2012—which enable local authorities to retain a greater proportion of income from renewable energy projects.
Following consultation, and subject to the passage of the Local Government Finance Bill, the Government intend to lay regulations in Parliament with a view to them coming into force before the start of the 2013-14 financial year, subject to parliamentary approval.
I am placing copies of the consultation and draft regulations in the Library of the House. The Government are inviting responses by