The Government is 'fully committed to proceeding with’ business rates retention, according to local government minister Marcus Jones.
Mr Jones admitted it ‘wasn’t ideal’ that the calling of the General Election torpedoed the Local Government Finance Bill, which would have introduced 100% retention.
However, he continued: ‘It has given us the opportunity to take stock in terms of reforming local government finance.’
Mr Jones praised councils for their ‘significant contribution’ to the deficit reduction programme but warned they were ‘still facing significant financial challenges’ with the Government expecting it will have to make more ‘difficult decisions’.
He went on: ‘Public satisfaction is still extremely high given the challenges local government has faced.
‘We are not complacent. We realise the work that you have done has been valuable.’