Business Rate Supplements Bill

A theme that has emerged from the debate is that the Bill means different things in different parts of the country. In London it will undoubtedly be seen as enabling Crossrail to be constructed. That has been discussed, most notably in the contribution from the right hon. Member for Greenwich and Woolwich (Mr. Raynsford), but more widely there may be some confusion about whether this is the right time to introduce it, as the spokesman for the Conservatives, the hon. Member for Bromley and Chislehurst (Robert Neill), said, and how the scheme will work and what safeguards there will be for local businesses and communities. As I said in my intervention during the Minister’s contribution, the Bill falls between two positions. One would be to concentrate on Crossrail and ensure that the enabling powers were in place for the mechanism to work in London, to see how it works, whether it can be delivered, and whether the money required is raised through that mechanism. The other would entail a more fundamental examination and reform of the way the business rate system works. My party would favour the localisation of that process as part of a genuine process of localism. The Minister was proud of the list that he read out, but if he were to discuss that with local authority members, many would feel that that was not a radical step giving them the tools to change the world for the better. The Bill is focused on Crossrail and allows some engagement with the local business community and some options for local authorities to make a change. However, it does not allow fundamental reform. Through their reasoned amendment, the Conservatives seem to have decided that they are happy to throw out the Crossrail baby with the legislative bathwater. If we reject the Bill on Second Reading, we are effectively setting back progress towards Crossrail. Although we share many of the concerns that have been expressed about provisions in the Bill and about the safeguards for business at this crucial juncture, we think that it would be wrong to reject the Bill when it has such an important job to do with regard to Crossrail and the funding for that.