Dermott Calpin 24 October 2011

Pickles urged to rethink business rate proposals

The City Finance Commission has urged Communities Secretary Eric Pickles to re-think his proposals for the local retention of business rates.

The influential commission beleives the plans will fail to meet the Government’s twin objective of promoting localism and economic growth.

Liver Building Liverpool pictureThe City Finance Commission is urging ministers to develop a bold and long-term approach to building strong local economies

Brought together by Westminster, Birmingham and Manchester councils, the independent coalition of business groups and academics has delivered a damning verdict on business rate plans as part of the consultation on Local Government Resource Review (LGRR) which closes today.

Commission chairman Sir Stuart Lipton said: ‘If our economy is to recover, local councils – as the institutions that control so many of the levers of growth – will have a vital role to play in creating the conditions necessary for this recovery.
 
‘The Local Government Resource Review presents a unique opportunity to drastically rebalance the relationship between local authorities and the business community. 
  
‘We urge ministers to revisit these proposals and grasp this once in a generation opportunity to promote a bold and long-termist approach to building strong local economies.'
  
The commission which was set up in January to report on local government funding delivered its own report ‘Setting Cities Free – releasing the potential of cities to drive growth’ in May ahead of the LGRR consultation.

More on this story at the MJ.co.uk (£)

 

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