6. What changes to business rates in Wales does the Cabinet Secretary intend to bring forward following the UK Government's budget announcement regarding business rates in England? OAQ53035

I thank the Member for the question. As he will know, I announced yesterday that I intend to enhance our high-street rate relief scheme for 2019-20. I said yesterday, Llywydd, that I would use the full £26 million consequential for that purpose, and I can say today that I intend to make £24 million directly available to the high-street scheme itself and that I will also provide an additional £2.4 million to local authorities to fund the discretionary rate relief that they are able to provide.

With the UK Government's announcement in the budget back in October, the figures that came out of the UK Government budget announcement said that businesses in England would receive about £8,000 rebate on their business rates up to a rateable value of £51,000 over two years. Given the series of announcements you just made there, Cabinet Secretary, which are welcome—additional money going into business rates—what tangible benefits will be felt on our high streets here in Wales, given that Small Business Saturday was only last Saturday, and time and time again business operators on high streets say business rates are the biggest millstone around their necks to expansion and employing more staff on those high streets?

Llywydd, I think it is important for me to make sure that Members understand that, once the small print of what the Chancellor said on 28 October was examined, it turned out that there is to be no national scheme in England at all. There is simply to be funding to local authorities to use their discretionary powers. There will be no national rules. You will simply be in the hands of your local authority to use the money that the Chancellor provides as they see fit. So, the figures the Chancellor used are illustrative at the very best and simply not to be relied upon as representing a scheme that businesses across England can rely on. By contrast, our high-street relief scheme has a set of all-Wales rules. There is a way in which businesses will know exactly how much they will be entitled to get. And, of course, I do agree with the Member. Every penny that we will get as a result of that announcement will be spent to assist businesses here in Wales, but we will design a scheme that meets the size, the distribution and the value of the Welsh tax base in this area, which is different to the one in England, and we will design a scheme that puts the money where it will have the best effect.

I'm aware that many childcare businesses in my constituency in Cardiff North are very concerned about business rates. Will the Cabinet Secretary confirm that all childcare providers will be exempt from paying business rates in Wales from April 2019?

Yes, Llywydd. Thank you to Julie Morgan for that, because I can confirm exactly that—that our small business rate relief scheme is to be extended to provide 100 per cent rate relief to all registered childcare providers in Wales, and this higher level of relief will start on 1 April 2019. It is a very good example of aligning our taxation responsibilities with our policy ambitions, because, of course, we have an ambition to provide the most enhanced level of childcare to people here in Wales, and the decision on rate relief was designed to support the sector on which we rely to deliver our childcare offer.