Issue - meetings

Report of the Strategic Director of Housing and Customer Services

Presented by the Corporate Portfolio Holder

The Corporate Portfolio Holder presented the report to Members.

He highlighted that the report sought Cabinet’s support to submit an application to become a one year pilot for 75% business rates retention in 2019/20 as part of a Leicestershire-wide bid and that the system would be implemented from April 2020 if successful. He advised Members that the deadline for the submission of the bid was 25 September and for that reason the approval of the Deputy Chairman of the Council had been given for exemption to the Council’s Scrutiny Procedure Rules in relation to Call-In, since any call-in would prevent submission by the required date.

He informed Members that Financial modelling undertaken by the Leicestershire Treasurer’s Association indicated that around £13.8m could be retained and shared across Leicestershire & Leicester Authorities along with the Fire and Police Authorities and that authority to delegate to the Head of Finance in consultation with himself to agree and submit the bid was sought.

Councillor T J Pendleton stated that he was delighted to second the recommendations so the authority could reap the benefits from growth that it was bringing to the area.

In response to a question from Councillor R Blunt, Councillor N J Rushton advised that the potential additional amount from the pilot had been reduced by the Government to encourage more areas to take part and that it would possibly bring an extra £0.5m income for the authority.

It was moved by Councillor N J Rushton, seconded by Councillor T J Pendleton and

RESOLVED THAT:

1. Subject to agreement with partner authorities, the authority will apply to become a business rates pilot for 2019/20 as part of a Leicestershire-wide Business Rates Pilot Bid;

2. Authority be delegated to the Head of Finance in consultation with the Portfolio Holder (Corporate) to agree the detail of the Business Rates Pilot Bid (in conjunction with other Leicestershire local authorities) with respect to the financial aspects and overall governance of the pilot bid;

3. Authority be delegated to the Head of Finance in consultation with the Portfolio Holder (Corporate) to submit a joint bid (in conjunction with other Leicestershire local authorities) and enter into a pilot agreement with MHCLG if that bid outcome is successful.

Reason for decision: Requirement of Financial Procedure Rules