Lib Dems say "Give us our money back!" (Islington Liberal Democrats)

Islington Liberal Democrats <Islington_ld@cix.co.uk>

Lib Dems say "Give us our money back!"

August 28, 2009 10:02 AM

Councillor Lucy Watt with Vince Cable MP

Cllr Lucy Watt with Vince Cable MP

Outraged Lib Dem councillors are demanding the Labour Government hands back millions of pounds of money taken from businesses in Islington.

Businesses in Islington are expected to pay out over £132m in business rates this year. The money is collected locally by the council but is then taken by the Government and put into a pot of money to be distributed to councils across the country.

This year Islington is only getting £1/4 m back from the Government from the central fund of pooled business rates.

Councillor Lucy Watt, Liberal Democrat Deputy Leader of Islington Council, comments:

"Businesses are really struggling at the moment and this latest move by the Labour Government is another slap in the face following the recent hike in business rates.

"Business here in Islington are paying out millions of pounds in business rates and once again Islington has been let down by Labour who are not handing us back our fair share. The money collected from local businesses should be spent here not on propping up Labour councils in the north.

"That's why the Lib Dems are demanding the Government give us our money back. We have put in a proposal to the Government to change the law so that the council keeps the business rates we collect and we can then spend the money making things better for local people and businesses in Islington."

Facts and figures:

1. Council figures show that £132,572,817 is expected to be collected in business rates in Islington this year.

2. The Government is handing back £266,776 of the business rates collected in Islington via the LABGI grant.

3. Last month the Lib Dem run council submitted a Sustainable Communities Act proposal to keep the money collected through business rates so the money can be spent on services in Islington.