• Home
  • About
  • Subscribe
  • LATIF
  • Conferences
  • Dashboard
  • Edit My Profile
  • Log In
  • Logout
  • Register
  • Edit this post

Room 151

  • 151 BRIEF

    What's New?

  • London CIV appoints Dean Bowden as CEO

    August 18, 2022

  • Coventry secures over £115m of funding to decarbonise transport system

    August 18, 2022

  • Bexley Pension Fund appoints responsible investment consultant

    August 17, 2022

  • Leeds’ £120m levelling up bids offers ‘transformational change’

    August 16, 2022

  • Social care workforce crisis ‘requires government intervention’

    August 15, 2022

  • Consultation opens on future of IFRS 9 statutory override

    August 12, 2022

  • Treasury
  • Technical
  • Funding
  • Resources
  • LGPS
  • Development
  • 151 News
  • Blogs
    • David Green
    • Agent 151
    • Dan Bates
    • Richard Harbord
    • Stephen Sheen
    • James Bevan
    • Steve Bishop
    • Cllr John Clancy
    • David Crum
    • Graham Liddell
    • Ian O’Donnell
    • Jackie Shute
  • Interviews
  • Briefs

London’s councils applaud extension of business rates pilot

0
  • by Ian McDiarmid
  • in 151 News · Funding
  • — 17 Dec, 2018

London Councils, representing the capital’s 32 borough councils and the City of London,  and the mayor of London have welcomed the decision in last week’s provisional local government settlement to renew London’s business rates pilot deal.

The pilot, which began in 2018/19, allowed the London councils and the Greater London Authority to retain 100% of additional business rates income not due to revaluation-related growth.

In 2019/20 the London bodies will continue to benefit from the scheme, but at a lower rate of 75%.

In a press release London Councils said: “Greater business rates retention, in exchange for lower levels of government grant, is a small but important step towards bringing London in line with most other global cities.”

Commenting on the new 75% rate, the mayor of London Sadiq Khan said: “Although I welcome the renewal of this important scheme, I am disappointed that it is at a lower retention rate than last year.

“Working with London Councils, we will continue to urge the government to agree to full devolution of business rates to the capital, so we can act in the interests of Londoners and their businesses.”

Kahn and the London Councils also pointed to the savage effects of the 2017 business rate revaluation, and called for a fairer non-domestic rates system.

London Councils said: “That revaluation meant that some businesses were hit with rates increases of much as 45% overnight on 1 April 2017, with London businesses facing a collective business rise of up to £1.2bn, which will fund an equivalent tax cut for the rest of the country.

“The next revaluation is scheduled for April 2021 and will be based on estimated rental values next April.

“The government must start planning now to ensure these huge rises are not repeated again in just over two years’ time.”

The chancellor announced a two-year relief discount for businesses hit by the increase in business rates, but this only applies to rateable values of less than £51,000.

London Councils points out that relatively few will benefit, as many of the capital’s businesses have rateable values above the threshold.

Share

You may also like...

  • Don’t expect an infrastructure levy any time soon 21st Apr, 2022
  • Overcoming the challenges to social impact investing 5th Jul, 2022
  • Richard Harbord: What will happen with business rates? 30th Nov, 2021
  • ‘Funding cuts have changed the scale, shape and scope of local government’ 31st Jan, 2022

Leave a Reply Cancel reply

You must be logged in to post a comment.

  • 151 BRIEFS – WHAT’s NEW?

    • London CIV appoints Dean Bowden as CEO
    • Coventry secures over £115m of funding to decarbonise transport system
    • Bexley Pension Fund appoints responsible investment consultant
    • Leeds’ £120m levelling up bids offers ‘transformational change’
    • Social care workforce crisis ‘requires government intervention’
  • Room151’s LGPS Roundtables

    Biodiversity
    Valuations & Risk
    LGPS Women

  • Room151’s LGPS Roundtables

    Biodiversity
    LGPS Women
    Valuations & Risk
  • Latest tweets

    Room151 10 hours ago

    Liverpool faces further government intervention as commissioners find ‘whole-council failure’: The levelling up secretary has announced that he is “minded to” expand intervention at Liverpool City Council by transferring the authority’s financial… dlvr.it/SWvgGc pic.twitter.com/cB7YeHZ9lE

    Room151 1 day ago

    Recovery position: withholding tax and the LGPS: Partner Content: Paul Sprenger from WTax talks to Room151 about how Local Government Pension Scheme funds could be missing out on millions of pounds of withholding tax recovery opportunities.… dlvr.it/SWsTfQ pic.twitter.com/z6aVMcaqHe

    Room151 2 days ago

    Treasurer societies favour permanent extension to IFRS 9 statutory override: Two treasurer society presidents have indicated their preference for the current five-year IFRS 9 statutory override to be made permanent following the government’s latest… dlvr.it/SWr3G4 pic.twitter.com/MGf9M5zC8Q

    Room151 3 days ago

    Luton Borough Council faces ‘grave’ £10m overspend: Luton Borough Council faces a £10m overspend in its 2022/23 budget which poses a “serious risk” to the authority’s financial sustainability. A report by Dev Gopal, director of finance, revenues[...] dlvr.it/SWmynD pic.twitter.com/ETDd7sQA48

    Room151 3 days ago

    Luton Borough Council faces ‘grave’ £10m overspend: Luton Borough Council faces a £10m overspend in its 2022/23 budget which poses a “serious risk” to the authority’s financial sustainability. room151.co.uk/funding/luton-… pic.twitter.com/XvyTZckW6m

    Room151 1 week ago

    LATIF/FDs’ Summit ‘on course to be biggest yet’: Room151’s flagship event – the Local Authority Treasurers Investment Forum (LATIF) and FDs’ Summit – is on course to be the biggest yet, with more than 200 delegates expected. Combining[...] dlvr.it/SWSDrL pic.twitter.com/f8FXzcAdWB

    Room151 1 week ago

    ‘Local government treated worse than any other part of public sector’: Clive Betts, chair of the Levelling Up, Housing and Communities Committee, talks to Mike Thatcher about lack of progress on levelling up, pork-barrel politics and why local government… dlvr.it/SWRk1L pic.twitter.com/Jpw0BsOsy3

    Room151 1 week ago

    Which LGPS pools and funds are attending the LGPS Investment Forum on Nov 2 & the LGPS Private Markets Forum on Nov 1st? Answer here: lnkd.in/eDHU8tuy pic.twitter.com/D3gd63Rh7F

    Room151 1 week ago

    LGPS and levelling up: nothing to fear but fear itself: There have been a number of objections to government plans for LGPS funds to invest 5% of their assets in local projects. But George Graham says these objections can be[...] dlvr.it/SWL7vt pic.twitter.com/ebwBEkZTy4

  • Register to become a Room151 user

  • Previous story Provisional settlement does nothing to help local authorities
  • Next story Sometimes the old ones are the best

© Copyright 2022 Room 151. Typegrid Theme by WPBandit.

0 shares