It is a pleasure to follow my hon. Friend the Member for Cleethorpes (Martin Vickers).
I welcome the direction of travel under this Bill. I support its objectives of boosting investment in infrastructure, cutting the red tape that delays and discourages business investment, and helping support local growth and local jobs. It is important that the red tape that has hampered the roll-out of superfast broadband is removed, that we kick-start building on school sites, and that we have a swifter planning system for local residents and local businesses.
I believe, however, that one aspect of the Bill needs further scrutiny and consideration, namely the proposal to postpone the business rates revaluation until 2017. I urge the Government to consider this proposal carefully in Committee and, if the evidence supports the case for amending it, I urge them to do so. I reached that conclusion wearing two hats: the first as an MP representing a constituency where I fear many businesses may be disadvantaged by the postponement of the review, and the second as a chartered surveyor. Having practised for 27 years, I would not say that I am an expert on business rates, which is a specialist field, but I have carried out business rates valuations and done appeals.
I am concerned for a variety of reasons. First, I question whether the proposal is actually based on up-to-date research. The Valuation Office Agency’s research shows that, if the review goes ahead, 800,000 premises will see a real-terms rise in rates, while only 300,000 will see their bills fall. However, I am mindful of the views of Gerald Eve, one of the leading private practice firms in the specialist field of rates, which disputes the VOA’s findings and has carried out its own research, which reaches a different conclusion. Other surveyors are also concerned that the reasons for the delay are based on draft and incomplete data.
Secondly, I question the merit of keeping a rating list based on the rental values that prevailed in April 2008, when the property market was at an artificial and unsustainable peak. There is a concern that postponing the review will lead to the rates of retailers in particular being based on incorrect and historical values for far longer than they should be. The postponement may cause short-term injustices and store up bigger problems for when the next review eventually takes place.