Government Must Help Under Threat Businesses

Adrian Sanders, MP for Torbay, has been questioning Communities Minister John Healey over Government help for businesses in Torbay.

Following news that some businesses are facing a steep hike in business rates as the transitional relief scheme comes to an end, Adrian pressed for the Government to extend the relief while the recession continues but Mr Healey refused to extend the support.

The Minister also admitted that he did not know how many businesses would be affected by the end of the scheme.

Business rates are re-valued every 5 years. If the changes in rates are particularly steep, these changes will be phased in over 4 years. For the fifth year of the scheme, the full rate has to be paid and some businesses will suddenly find a big increase in their bills.

There was good news though as the Minister highlighted hardship schemes that allow councils to offer rate relief to businesses. It is essential for all businesses facing hardship to approach the council and make their case for a temporary rate reduction.

Adrian commented: "More still needs to be done to provide help to businesses, especially small, local businesses. While the Minister is refusing to address the transitional relief problem, at least the Government, and local authorities, are now recognising that something does need to be done."