Rating (Property in Common Occupation) and Council Tax (Empty Dwellings) Bill — House of Lords, 2018-06-19
Topic: Domestic Commerce
John Lytton (Crossbench, Unknown): My Lords, I know that after Brexit, the question of business rates and council tax must be one of the high points of your Lordships’ week. With that in mind, I start by declaring my interests as the owner of business property and the occupier of business premises, my professional interests, and the fact that I am a vice-president of the Local Government Association. Although business rates, the subject of this amendment, do not quite have the pull of Brexit, they are nevertheless of great significance to businesses. I suspect that, like Brexit, they will be a matter that we will still be debating long after the initial dust has settled. Moreover, the issue will be debated whatever the outcome of our relationship with Europe I pay a brief tribute to my two external advisers who have been helping me with these amendments, and to staff in the Minister’s department for their willingness to discuss, both formally and informally, matters to do with business rates that have concerned me over many months. I have a sort of private pact that I have just agreed with the noble Lord, Lord Kennedy of Southwark, to keep things brief, and I will do my best in that regard I hope Amendment 1 will be seen for what it is: a means of preventing unfairness and an aid to streamlining. I should explain that the Bill provides for business rate payers to seek to amend principally the 2010 list and later assessments, to which the Bill applies, affected as they were by the Supreme Court case of Woolway v Mazars. However, while under the Bill the facility to amend appears on the 2010 valuation list, a successful application under that list does not automatically translate into the assessment in the 2017 list. To me, this seems an oversight. In the absence of a material change of circumstances, the 2017 list should use the same general basis, valuation levels apart, as that which applied to the 2010 list This matters to ratepayers, billing authorities and business rates administration more generally. Amendment 1 seeks to remedy the matter by allowing the automatic carryover of an adjustment made pursuant to the Bill on a 2010 list assessment or assessments into the 2017 list. Without this provision, the business rate payer will have to make a de novo application under the 2017 list using the government portal that operates the system known as "check, challenge, appeal". Noble Lords will know that I have raised significant concerns about the "check, challenge, appeal" procedure, principally at the end of last summer in a debate I secured for the purpose. Although it has improved, and I acknowledge that improvements continue to be made, for appellants it remains a barrier to fair access in terms of both the need to register the timeframes and the complexity of sorting out the various stages, especially if the matter is not considered clear-cut or is contested by the Valuation Office Agency. I once had the privilege of working for its predecessor organisation, the Inland Revenue Valuation Office, for nearly seven years I do not believe it should be necessary to jump through these hoops under the 2017 "check, challenge, appeal" process where a simple administrative adjustment would suffice. That is the purpose of the amendment and I beg to move.