Minister urges public participation in rates reform

Finance Minister Ian Pearson has encouraged householders in Northern Ireland to ensure their views on the reform of rates in the province are heard during the consultation period.

Mr Pearson was speaking at a seminar organised to explain the reform proposals and how properties will be revalued.

He said: “When I published the government’s proposals in July, I highlighted the inequity of the current rating system based on outdated rental values. The proposal to revalue property on a discrete capital value basis will modernise the system and make it fairer. This reform is long overdue."

The new capital value assessments will be produced by the Valuation and Lands Agency (VLA). The Agency will utilise their database of 700,000 domestic properties and their recently acquired Computer Assisted Mass Appraisal (CAMA) system to ensure that the new valuation list is published in 2006.

Turning to the proposals on rating reliefs, the Minister said: “It is also proposed that the switch to discrete capital values will be accompanied by a new rate relief scheme that will provide assistance to those on low incomes who are just beyond the reach of the existing housing benefit system.

"I believe that this scheme will be a much more effective way of protecting those least able to pay than blanket reliefs. It will be sufficiently flexible to allow a future Executive and Assembly to target relief at particular groups and at the same time ensure that only those who really need help receive it."

Commenting on the consultation process, Mr Pearson said: “These reforms will affect most households in Northern Ireland and I would encourage the public to give us their views on them. A leaflet will be issued over the next few weeks to all householders explaining the reforms and reminding them about the consultation exercise. I hope that this will stimulate debate and generate more responses, all of which will be carefully considered before we proceed.”

The consultation period closes on 12 November 2004.

(MB/GMCG)