Issue - meetings

This report provides Members with initial information as to how a Leeds City Region Business Rates pool would work and seeks approval for the Chief Executive and Director of Customer & Business Support Services (as Section 151 officer) to add their signatures to the final pool proposal submission to the Department of Communities and Local Government.

RESOLVED:       That Cabinet agree to the Chief Executive and Director of Customer & Business Support Services (as S151 Officer) signing the final pool proposal for the Leeds City Region Pool, subject to subsequent assessment once the implications of the 2013/14 Local Government Finance Settlement are known.

REASON:            To ensure that York’s options are kept open with how best to benefit from the localisation of business rates.

Consideration was given to a report which provided Members with initial information as to how a Leeds City Region Business Rates pool would work, this followed changes, from April 2013, in the way Local Government would be funded.

It was reported that under the new funding system Business Rates would be localised, with local authorities keeping any money they collected. As amounts would vary, Local Authorities would be able to group together to form into local pools which would share the risks of any volatility in income and the potential of removing the need for a levy payment on growth.

Further details on these proposals were set out at paragraphs 4 to 11 and a suggested set of governance arrangements for a Leeds City Region rates pool at Annex A of the report.

It was noted that final involvement in the pool would only be recommended if it was found to be of financial and economic benefit to the city. Following further discussion it was

RESOLVED:       That Cabinet agree to the Chief Executive and Director of Customer & Business Support Services (as S151 Officer) signing the final pool proposal for the Leeds City Region Pool, subject to subsequent assessment once the implications of the 2013/14 Local Government Finance Settlement are known. ^1.

REASON:            To ensure that York’s options are kept open with how best to benefit from the localisation of business rates.