I move the motion to approve the Non-Domestic Rating (Multiplier) (Wales) Regulations 2022. These regulations set the multiplier for non-domestic rating purposes for 2022-23. In 2017, the Welsh Government set out its intention to change the measure of inflation used to calculate the multiplier in Wales from the retail price index to the consumer price index from 1 April 2018. This has previously been effected through annual Orders approved by this Senedd. Following the passage of the Local Government and Elections (Wales) Act 2021, an increase in CPI is now the default statutory position. On 20 December, I announced the decision to move away from this position for 2022-23. Instead, the multiplier will be frozen. The regulations need to be approved before the vote on the local government finance reports on the final local government and police settlements for 2022-23, or before 1 March 2022, whichever is earlier. I am therefore seeking approval of these regulations ahead of the vote on the report on the police settlement later today.

The Non-Domestic Rating (Multiplier) (Wales) Regulations 2022 will set the multiplier so that it remains at the level set for both 2020-21 and 2021-22, which is 0.535. The regulations will result in there being no increase in the rate bills to be paid by businesses and other non-domestic property owners in 2022-23. The Local Government and Elections (Wales) Act 2021 made a permanent change to the basis for increasing the multiplier from 1 April 2022. Our intention is to use CPI in future years. 

I am grateful to the Legislation, Justice and Constitution Committee for its consideration of the regulations. Non-domestic rates policy is largely devolved. Freezing the multiplier prevents increases in rate bills that rate payers would otherwise face. This change will help businesses and other rate payers in Wales, particularly given the pressures they've been facing, while maintaining the stable stream of tax revenue for local services. The change is fully funded by the Welsh Government. We are investing £35 million to cover the cost of the freeze so that there will be no impact on the funding provided for local services. I therefore ask Members to approve the regulations today.