A New Small Business Rates Relief Scheme for Wales (Dec 17)
A New Small Business Rates Relief Scheme for Wales
Finance Secretary Mark Drakeford has announced that a permanent Small Business Rates Relief scheme (SBRR) will be introduced from 1 April 2018.
The scheme will provide additional support for the childcare sector, increasing the upper threshold for rates relief for childcare providers from £12,000 to £20,500.
The scheme will continue to be developed to ensure it best meets the needs of Wales and, during 2018-19, the Welsh Government will additional relief for certain businesses, including:
• £5m of support to continue the temporary High Street Rates Relief scheme into 2018-19.
• An additional £1.3m funding to local authorities, for them to use their discretionary powers to provide targeted relief to support local businesses which would benefit most from additional assistance.
• Targeted support for small hydropower projects.
A key aspect of the new scheme is the number of properties eligible for small business rates relief will be limited to two properties per business in each local authority. This means big businesses won’t benefit disproportionately from the scheme and rates relief will be targeted more effectively to support local businesses. This releases approximately £7m which is being reinvested in other areas of relief.
The Welsh Government’s intention is to take a progressive, fair and transparent approach towards local taxation in Wales which continues to provide vital funding for local services. Delivering a permanent rates relief scheme for small businesses is a key step in delivering this.
Please find attached:
· Cabinet Written Statement
· The Non-Domestic Rating (Small Business Relief) (Wales) Order 2017
· Consultation summary of responses document
Post: Local Taxation Policy Branch, Cathays Park, Cardiff, CF10 3NQ