Commons Sense

House of Commons · General Debate

Rating and Valuation

04 February 2020 · 5 other contributors

Opened by Jesse Norman Con Hereford and South Herefordshire

EconomyTaxationBusiness & Trade

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Jesse Norman raised concerns about rating and valuation in the House of Commons. Other MPs contributed to the debate.

Key points

  • The order changes the business rates inflation measure from the Retail Prices Index to the Consumer Prices Index for 2020-21.
  • The standard multiplier for business rates will decrease from 51.6p to 51.2p.
  • The small business multiplier will drop from 50.3p to 49.9p.
  • Retail discounts are extended to independent cinemas and grassroots music venues.
  • A pub discount is provided for pubs with rateable values below 100,000.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Jesse Norman Con Hereford and South Herefordshire

The order changes the annual inflationary increase in business rates from the Retail Prices Index to the lower Consumer Prices Index for financial year 2020-21, estimated to reduce costs by £6 billion over five years. The standard multiplier will be reduced from 51.6p to 51.2p and the small business multiplier from 50.3p to 49.9p. It also extends retail discounts to independent cinemas and grassroots music venues, providing a pub discount for pubs with rateable values under £100,000.

Other contributors (5)
  • Anneliese Dodds Lab Co-op Oxford East

    Supports the order but questions the continued use of RPI and the lack of clarity on a fundamental review of business rates. Probes into the proportion of rateable businesses covered by discounts, the scope of the upcoming review, and concerns about local government funding settlement's real-terms cut.

  • Paula Barker Lab Liverpool Wavertree

    In her maiden speech, Paula Barker paid tribute to her predecessor and the importance of mental health issues. She expressed pride in representing Liverpool's diverse communities and pledged to advocate for a fairer economic system. She criticised Conservative austerity policies and highlighted the funding reduction faced by Liverpool City Council. She also emphasised the role of trade unions and the need for devolution that respects local autonomy.

  • Jesse Norman Con Hereford and South Herefordshire

    Responding to the Labour Front-Bench questions, Jesse Norman explained the government's approach to using RPI versus CPI for uprating business rates. He also addressed questions on thresholds, reviews, and local government funding. He congratulated Paula Barker on her maiden speech and acknowledged past Conservative support for Liverpool.

  • Rachael Maskell Lab Co-op York Central

    Maskell raised a point of order regarding the management of information during a public health scare involving coronavirus. She questioned the accuracy of communications provided by the Government and sought clarity on whether the Secretary of State for Health and Social Care would make further statements to address these concerns.

  • Rosie Winterton

    Winterton responded to Maskell's point of order, noting that Ministers are responsible for accurate information given in the Chamber. She clarified that she had not heard of any intention by Ministers to make further statements on this matter.

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