Tiverton MP lobbying to abolish business rates as Lib Dem leader visits

Rachel Gilmour will urge the government to scrap business rates

Tiverton’s MP Rachel Gilmour will continue pushing to abolitish business rates after her party’s leader, Sir Ed Davey, met local businesses.

Ms Gilmour (Liberal Democrat, Tiverton & Minehead) said her party will lobby parliament to scrap the charge and introducte  a ‘commercial landowner levy’ in its place.

The levy, which the party first mooted in 2018, would remove buildings and machinery from calculations and tax only the land value of commercial property, something it claims would boost investment and cut taxes for businesses.

The burden of paying the levy would fall on landlords, unlike business rates which are paid by tenants.

Ms Gilmour said such a move would help support local high streets, like Tiverton.

Labour’s chancellor Rachel Reeves, who delivers her first budget at the end of this month, told her party’s conference in September that the business rates system is outdated and pledged to overhaul the system.

Business rates have risen in recent years, making it more costly for companies.

The rateable value of business premises  – an estimate of its open market rental value – are reviewed periodically and more companies that previousy didn’t pay the tax are now being charged.

Ms Gilmour said: “Tiverton has so much potential, and I am looking forward to working with local business leaders to try and drive forward improvements in the town.

“Both Ed and I want to express our gratitude to everyone who attended and shared their thoughts and ideas.

“I now aim to deliver on these issues on behalf of you, the people of Tiverton and Minehead.”

While Ms Gilmour and Sir Ed are able to make their views known in parliament, their ability to change the system is limited. The Lib Dems have 72 seats in the Commons, compared to the governmet’s 411.

Sir Ed, who visited the town’s Cotie Business Hub, spoke with Tiverton’s business leaders and discussed key topics including local infrastructure, town planning, and future investment opportunities.

Ms Gilmour said the business representatives raised business rates as a key challenge, alongside town planning concerns.

The MP is one of six Lib Dems representing Devon constituencies, five of whom were elected this year – including Ms Gilmour.