Issue - meetings

Background:

This report outlined suggestions from Central Government for local authorities to consider using their discretionary powers to award business rate relief in certain circumstances.

In was noted that the 2014 Autumn statement had included a package of business rate measures, which included the extension of transitional relief scheme for two years for properties with a rateable value up to and including £50,000. Guidance issued by the Department for Communities and Local Government in January 2015 (Appendix A to the report) further advised that local authorities would be reimbursed by Central Government.

The report also explained that Ministers had urged authorities to consider using their discretionary powers to aid access to free to use cash machines, where there was a clear community benefit and to support access to local high quality childcare provision. In these cases, however, the Government would not reimburse the local share and so the Council would have to fund 49% of the cost of relief.

The current position, including the potential impact of these proposals was considered. It was also noted that Cabinet in 2013 had adopted guidelines for the award of hardship relief that could be applied to struggling individual businesses.

Reasons:

The extended transitional relief scheme has been promoted by and will be funded by central government to assist small business ratepayers. Given the lack of cost to the local taxpayer it was appropriate for the Council to operate such a scheme.

Creating discounts for Automated Teller Machines (ATMs) and nurseries will incur additional expenditure for the Council for businesses that may well be able to afford to contribute. Noting that the Council already has the ability to award hardship relief to struggling businesses, which is a more focussed way of providing support, is it not considered necessary to create a local discretionary rate relief system at this time for ATMs and childcare provision.