PLANS to localise business rates will force councils to encourage economic growth in their area, Meon Valley MP George Hollingbery said.
The Local Government Finance Bill will allow councils to collect the rates, but they have to spend it on growing business activity.
‘It’s now in the interests of councils for the first time to have a financial stake in the economic activity of their areas – the more business, the more money in the council coffers – instead of it all going to a central government pot,’ said Mr Hollingbery.
‘This is great news for councils and, importantly, it’s great news for businesses, who will now have councils actively helping them become a success, because it’s firmly in their interests too.
‘I recently met the cabinet of Havant Borough Council to explain the implications of the bill, and the councillors were genuinely excited by what they heard.’