Business rates reset will 'cost the council £1.5m'

Concerns raised with Chancellor

- Phil Corrigan Local Democracy Reporter

A SENIOR councillor has written to Chancellor Rachel Reeves asking for extra funding - because he says changes to the business rates system will cost his authority £1.5 million.

Newcastle Borough Council's deputy leader Stephen Sweeney, right, says a 'strict' budget setting process will be needed to address an expected £1.78 million funding gap in 2026/27.

In his letter to Ms Reeves, Councillor Sweeney claims that the Government's reset of the business rates retention system will result in the borough council losing out, at a time when demand for services is increasing due to the cost-of-living crisis.