Business Rates

I will come in due course to the details that the hon. Gentleman refers to. He is leaping ahead of me. I return to the comments that have been made about the current system, which, as I have said, was introduced by the previous Administration. It was subject to a thorough review by Sir Michael Lyons, which reported in March 2007. Sir Michael concluded that business rates were a""successful and stable property tax"." He felt that there was no case for changing the retail prices index cap on annual charges in the national rate of tax. It is widely accepted—except, it appears, by Opposition Front Benchers—that the business rates system that the Conservative party introduced is an effective, fair form of taxation, and I have to say that it has been improved by the Labour Government since 1997. If the hon. Member for Putney and the Opposition believe that the system needs changing, it is important for them to explain not only the proposed structure but how any changes would be made. I remind the House that the current system raises £20 billion a year, which goes towards services from which businesses benefit at local government level. If the system is to be done away with, it would be interesting to know the costings for the suggested changes.