Non-Domestic Rating Bill

Asked if the Valuation Office Agency is ready for the proposed changes. She confirmed that VOA gave evidence to the Treasury Committee last week, stating it was on track with its computer system updates.

Owen emphasises that the current business rates system is outdated and dysfunctional. She highlights concerns about administrative burdens imposed on businesses by clause 13 of the Bill, such as reporting taxpayer reference numbers to the Valuation Office Agency, which could result in additional costs for small businesses. Owen also raises questions regarding the equality impact assessment of these measures on migrant communities and their potential regional disparities. Additionally, she calls for annual revaluations of business rates to better support economic changes.

Supports measures in the Bill to help the retail sector, such as more frequent revaluations and digitalising business rates. Acknowledges positive steps but expresses concerns over three-yearly valuations imposing administrative burdens on small businesses and the rise of the uniform business rate multiplier. Calls for further action to lower the tax burden on SMEs.

Morgan argues against the Bill, stating that it tinkers around the edge of an outdated tax system rather than providing a fundamental review. She highlights that small independent stores benefit from relief but larger retailers are not helped sufficiently. Morgan supports more frequent revaluations and improvement relief for businesses to encourage upgrades and decarbonisation. However, she expresses concern about additional administrative burdens on businesses, including annual form-filling exercises with significant penalties, which can be a burden on already beleaguered financial controllers. She emphasises the need for swift responses from the Valuation Office Agency (VOA) and suggests remedies or an appeals system when decisions are unreasonable or wrong.

Mr Aldous supports the Business Rates Reform Bill as a welcome step but raises concerns about its drafting, particularly regarding clauses 13 and 14. He argues that clause 13 introduces a heavy administrative burden on businesses by requiring them to notify property changes within 60 days or face fines or imprisonment. He suggests this duty should be reciprocated with the Valuation Office Agency (VOA) responding promptly to queries, providing rebates if it fails to do so. Mr Aldous also criticises clause 14 for removing legal recourse for businesses affected by government policies outside their control. He advocates for annual revaluations and transparency in the valuation process.

Intervened to agree with Mr Aldous, highlighting that businesses receive unsolicited calls from unqualified rating advisers offering to challenge their rates bills. Ms Morgan believes this indicates systemic issues and inadequate initial rating values.

Murray supports measures in the Bill such as removing downward caps on transitional relief and moving to a three-year revaluation cycle but is concerned about the lack of commitment to annual revaluations. He also raises concerns over the increased administrative burden imposed by new legal duties, noting significant compliance costs for businesses.

Argues that the Bill is a positive step forward in reforming business rates to support businesses, especially those hit hard by recent challenges. He addresses concerns raised about data collection and revaluation cycles, emphasising that the changes aim to make business rates more efficient and fair.

Her concerns were addressed by Lee Rowley regarding smaller businesses and sectors such as hospitality and retail. She is supportive of the measures that will provide relief to these sectors.

Raised points about annualised revaluations, which were addressed by Lee Rowley who stated that moving from a five-year to a three-year cycle is a step forward. He welcomes the approach but seeks further progress in future years.

Discussed data collection and its necessity for effective tax management, agreeing with the principles behind ensuring the most up-to-date system requires accurate data. She acknowledges that while it is challenging to strike a balance between effectiveness and burden on businesses, the pilot phase will ensure this.

Asked whether they were waiting for a Labour Government to fix issues with business rates. She questioned the consistency of the measures and suggested that there is no clear plan from the Conservative party on how these reforms will be implemented.