BROMSGROVE MP Sajid Javid has welcomed the ‘radical reforms’ of the Business Rates system which were announced at the Conservative Party Conference this week.
Under the changes, due to be introduced in 2020, £26billion worth of business rates will stay in the hands of local authorities across the country.
Currently 50 per cent of the cash raised from rates is sent to Whitehall where the money is divided up and then sent back as grants, which vary so areas with fewer businesses don’t lose out.
At the moment the rates are also determined by the ratable value of the property concerned whereas, under the new system, councils would be able to reduce their rates if they wanted.
Mr Javid, who is also the Secretary of State for Business, Innovation and Skills, said: “I’m excited that this sweeping change will have a very positive impact on Bromsgrove.
“It will give the council the ability to cut Business Rates, giving local jobs and growth a boost.
“As residents, we know what we need in Bromsgrove district and what rates will best back our businesses and community.
“Government is setting a standard: giving power back local people.”
Bromsgrove District Council Leader Coun Margaret Sherrey said: “It’s a wonderful idea and I support it in principle, but it’s some way off and we’ll need to see the small print before we can have a good idea of how it will work.”