5th October 2015
Solace statement on the announcement of local retention of business rates
On Monday 5th October 2015, Chancellor of the Exchequer George Osborne announced that local authorities will be able to keep the income raised from business rates. This is a statement from Paul Martin, Solace spokesperson for local government finance and Chief Executive of the London Borough of Wandsworth, in response.
George Osborne’s announcement is very welcome. It will strengthen the relationship between local councils and businesses and generate fresh momentum behind growth.
Great care will need to be taken over the detail of the transition. In particular, during a period of sharp reductions in grant, it will be essential to ensure that no local authority finds itself in a more adverse financial situation as a consequence of this change. As with all policy, it will be as good as its implementation.