BUSINESSES in North Wales have welcomed moves by the Welsh Assembly Government to lighten the load on small businesses - but want the government to work harder to reduce unfairness in the rates system.
Carl Sergeant, then Minister for Social Justice and Local Government, announced earlier this month that the Assembly would extend the rate relief for small businesses in Wales, from the start of October this year until September 30 2012.
Business premises with a rateable value of up to £6,000 will receive 100% relief, with businesses with higher values receiving relief on a tapered basis from 100% to zero.
Those businesses receiving a higher rate of relief under the current scheme will continue to pay the rate most beneficial to them.
The Assembly’s decision follows the Budget announcement made by Chancellor George Osborne to extend relief for small businesses in England.
Mike Learmond, a representative of the Federation of Small Businesses in North Wales, said the FSB were “extremely pleased” to see the extension of the rate relief for another year.
He said: “This extra assistance is a real lifeline for many hard-pressed smaller businesses and its implementation is an indication that the Assembly Government recognises the importance of small businesses to the Welsh economy.”
But he added that many businesses had seen a rise in their rateable values after a recent re-evaluation, which has put them outside the thresholds for relief, while also having to pay rapidly rising bills.
Mr Learmond said: “Although the re-evaluation is not directly under the control of the Assembly, I would like to see the new Government work more closely with the Chancellor to remove unfairness in the system.”