9. Welsh Conservatives Debate: Business rates

Part of the debate – in the Senedd at 6:16 pm on 19 October 2022.

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Photo of Rebecca Evans Rebecca Evans Labour 6:16, 19 October 2022

I know that the UK Government is exploring a range of ways that a digital tax might be introduced, and I know that they'd be keen to hear from colleagues in the Senedd as well, in terms of ideas of how such a thing could be brought in. Because, as I say, officials in the Welsh Government are having some discussions to further understand what the plans and opportunities might be and different models for introducing a digital sales tax. That is a responsibility of the UK Government, but something that we are engaging in.

Whilst our interventions over recent years demonstrate that the non-domestic rates system is one of the tools at our disposal to provide support to businesses, we mustn't lose sight of the fact that the purpose of local taxes is to raise revenue for local services. Our extensive package of reliefs and interventions to moderate the multiplier is fully funded by the Welsh Government. There's been no impact on the funding available to local authorities, and that's not easy to achieve. It has arisen from difficult and carefully considered decisions about how to spend a finite budget to the optimal benefit of all of the people of Wales.

For more than 30 years, non-domestic rates have been an important part of the way that we fund our public services here in Wales, and I'm committed to making improvements to the system in line with our ambitions for a fairer, greener and stronger Wales, whilst maintaining the strengths of the existing local tax. I urge Members to vote for the Government amendment today.