Business Rates

Council tax is, unsurprisingly, set by the council. However business rates for local firms are set by central government.

This is a shame as reducing business rates is the first tool in the box when it comes to supporting the growth of small businesses in the area. This is something that we'd like to do in Cheshire East right now, but we find ourselves unable to because we are at the mercy of the government.

And unfortunately they do not want to reduce rates. In fact, they're putting them up - by a whopping 5%.

At a time when we're trying to keep council tax rises to a minimum and businesses are struggling everywhere this seems like a crazy thing to do. However it's clear that our government does not care about small businesses - something I have found as a small business owner every year when I see my corporation tax liabilities rise.

Last Tuesday the council moved the following, bought by Cllr Keegan:

"That this council deprecates the government's proposed five percent rise in the business rate for the year 2009/10, made while calling for Council Tax rises substaintially below five percent.

Further, that this Council regrets that it's efforts to consult with local businesses on ways to mitigate the effects of the current harsh recession are thereby undermined.

And further, that the Chief Executive be directed to write to the Minister to express our concerns and urge that the matter be reconsidered."

I know that a strongly worded letter might not seem like much - but we have no other control over business rates.