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Government fails to fulfil rates relief pledge

The Government broke its pledge to allocate £300m of business rates relief for small businesses before the General Election.

The Government broke its pledge to allocate £300m of business rates relief for small businesses before the General Election.

Speaking in the House of Commons at the end of April, Conservative MP Sajid Javid said there would be “absolutely no delay because of the General Election”.

However, official guidance as to how councils should distribute the funds was only issued just over a week before voting took place. Without this, many councils felt unable to recalculate business rate bills.

Speaking at a hustings event held by the ACS and Federation of Small Businesses earlier this month, Labour shadow chancellor at the time John McDonnell said the delay had “caused a lot of stress for people”. “It’s not something we can ever allow to happen again,” he added.

At the same hustings, the Conservative Chief Secretary to the Treasury David Gauke accepted failings to distribute the relief and said: “We’re trying to get it through as quickly as we can.”

FSB chairman Mike Cherry said councils could have made a judgement without the document, but called on the Government to take swift action. “The first order of business for the communities secretary in the new Government should be to get a grip and make sure the promised help is delivered in the first month of office.”

Do it: Contact your local council and ask to see their policy on distributing rates relief

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