George Osborne: English councils to keep business rates

This may be a bit of a leap, but I’m wondering if this is part of the big plan to starve the NHS of cash.

Note that he’s not giving local authorities in the devolved areas – Scotland, Wales, NI – any similar powers. But then, the amount they receive for their health services is tied to the amount spent in England, and if the money isn’t there, well…

Note also that he’s saying the extra funds available mean the Conservative Government won’t be accepting pleas for more money from cash-strapped authorities. Expect major cuts in the annual AEF grant – especially to authorities that are not Conservative-controlled!

Local councils across England will be able to keep all proceeds from business rates raised in their area under new plans unveiled by the chancellor.

George Osborne told the Conservative Party conference the move would see £26bn diverted from central government to local government.

He called it the “biggest transfer of power to local government” in recent history.

Councils will be able to cut taxes, or raise them if local firms agree.

Source: George Osborne: Councils to keep £26bn business rates – BBC News

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6 thoughts on “George Osborne: English councils to keep business rates

  1. Neilth

    So very wealthy LAs with loads of high end businesses paying lucrative amounts of rates on one side and less wealthy LAs with higher amounts of social deprivation and lower numbers of high end businesses on the other. The wealthy counties get to keep all of their business rates but then the poorer ones can also keep what they can raise. That’s fair.

    Oh by the way how do these respective authorities electorates tend to vote?

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