Mayor should set business rate supplement at minimum needed to fund Crossrail – letterJanuary 7, 2010
We remain fully committed to the Crossrail project and to business contributing to its costs via the Mayor’s supplementary business rate.
Last autumn the Mayor co-signed a letter with London businesses, urging Government to be sensitive to the effects of the recession, in implementing its business rates revaluation – London businesses will see far higher increases than the rest of the country. However, this same revaluation gives the Mayor an opportunity to lower his portion of the business rate tax take and still raise enough money for the share of the Crossrail bill promised by business.
The revaluation also puts some medium sized businesses at risk of an unexpected double hit, as their rateable value now exceeds the £50,000 threshold for the Crossrail supplement, on top of a double digit increase in their core rates.
Boris has implemented a low-tax approach at City Hall with unnecessary costs pared in order to freeze his share of the Council Tax. He should continue this policy by limiting this tax on business to the minimum needed to fund the work.
Baroness Jo Valentine (Chief Executive, London First)
Nigel Bourne (Director, CBI London)
Colin Stanbridge (Chief Executive, London Chamber of Commerce & Industry)
Sue Terpilowski (Chairman – London Policy Unit, Federation of Small Businesses)