Business rates relief scheme for Telford and Wrekin gets green light
A business rates relief scheme which is expected to benefit hundreds of firms in Telford and Wrekin has been given the green light by cabinet chiefs.
Telford & Wrekin Council’s share of a national pot of money is £685,000, which will be distributed to local businesses over the next four financial years.
The council's cabinet approved the scheme during a meeting at Addenbrooke House on Thursday night.
Telford & Wrekin Council's finance chief, Councillor Lee Carter said 337 businesses in Telford and Wrekin are expected to benefit from an award of discretionary relief.
Businesses with a rateable value of more than £15,000 and less than £200,000 are eligible to receive funding through the scheme.
It is front loaded, meaning that the council will get £400,000 in the first year, £194,000 in 2018/19, £80,000 in 2019/20 and £11,000 in 2020/21.
The government has advised that there is no scope to roll money forward to future years if there is an underspend.
In April this year, the rateable value of businesses was changed due to a revaluation by the Government’s Valutation Office Agency.
The temporary business rates relief scheme will provide financial support to businesses whose properties were subject to an increase in rateable value of more than five per cent as a result of the revaluation.
The money will be automatically awarded so there is no need for them to apply.
Cabinet chiefs also agreed to allow the assistant director for finance and HR to administer any future new reliefs which are fully funded by the government and introduced under the council's discretionary powers.
Liberal Democrat leader, Councillor Bill Tomlinson welcomed the report to cabinet but said it was "peculiar timing" as it is already halfway through the 2017/18 financial year.
Councillor Andrew Eade, Conservative group leader, said: "It's better late than never."
But he added: "It's a shame that any underspend cannot be rolled over."
Businesses already benefit from a range of relief schemes to reduce the burden of business rates.
These include small business rate relief, charitable relief, pub relief and transitional relief.
