Liberal Democrats call for more Business Rates to stay in Mole Valley.
At the Meeting of Mole Valley District Council on 18 July 2023 Councillor Bridget Kendrick proposed a motion urging the Government to urgently review the level of available funding for local government as a sector by increasing the level of business rates retained by local government.
The motion was supported by Independents but not by the Conservatives who voted against it.
Over £40 million of business rates are collected from businesses each year in Mole Valley. In the 2022/2023 financial year only £1.4million of this was given to Mole Valley. This equates to 3.1%, making Mole Valley the second lowest funded council in England.
Mole Valley is expecting further Government cuts in this amount retained to pay for local services.
Cllr. Bridget Kendrick, Deputy Leader MVDC and Cabinet Member for Finance said “The business rates formula covers many of our core services such as Leisure, Planning Applications, Revenue Collection, Elections and Waste Collection Services”.
Of concern, MVDC services such as Mole Valley Life, Community Safety, Economic Development, Cultural Services and Licensing do not appear to be covered by the proposed ‘foundation formula’. “This was probably because they are not considered universal services ie not all District and Borough Councils provide them” said Cllr Kendrick.
It is estimated the net cost of services that MVDC provides that are not covered are in the region of £800k per year.
Cllr. Abhi Magesh who seconded the motion said, “At a time of financial challenge to all councils we must look at every option to support our services. Liberal Democrats have called on the Government to review the settlement in line with the services Mole Valley provides, as well as asking our local MP to support our request. I find it incredible that the Conservative councillors voted against this simple request”.
Fetcham Cllr Raj Haque said “As a local businessman I have paid business rates for over 40 years, and I expect what I pay to support our local communities fully. The current settlement does not do that, and I urge our local Conservative MP to support our request”.