Plaid warns against Tory scaremongering
Plaid Cymru AM Dai Lloyd has warned that the Tories are threatening to undermine the economic recovery in Wales by scaremongering about business rate increases.
Dr Lloyd said that Tories have been attempting to generate alarmist headlines and deep concern among small businesses that their rates will increase, while in fact the Plaid driven Welsh government has acted to reduce business rates.
The Plaid AM for South Wales West expressed concern that the false Tory claims could discourage people from setting up a small business.
Many Welsh businesses faced soaring increases on their rates bills when a new revaluation exercise carried out by the UK Government comes into effect next April (2010), a date that cannot be postponed by the Welsh government. However, as a result of action taken by the Welsh Government announced back in October the FSB estimates that 64,000 businesses will now actually pay less.
The Plaid spokesperson on Local Government Dai Lloyd AM said:
“Small businesses are the lifeblood of the Welsh economy and it is frankly irresponsible for the Tories to scaremonger in this way. I am concerned that people who are looking at starting a business may be put off by these false claims. In their attempts to grab headlines the Tories threaten to undermine the nation’s economic recovery.
“The Plaid driven Welsh government is committed to helping the communities of Wales to weather the current economic storm and the work it has done so far has been welcomed by the business community. The figures from the FSB, showing that 64,000 businesses will now pay less in rates, demonstrate the hugely positive impact of the Welsh government’s action on this issue.”
During a Senedd debate on business rates, the Conservatives refused to commit to providing a fair funding formula for Wales if they win the next general election.
Dai Lloyd AM added:
“The Conservatives have made it clear that should they win the General election, they plan to introduce huge spending cuts. And they have again refused to commit to introducing a fair funding formula for Wales, and to stopping their cuts plans until that is in place. That is what has been recommended by independent experts - yet the Tory silence on this huge issue is deafening.
“Conservative plans can only result in cuts to public services and higher council tax. The Tories here in Wales are constantly calling on the Welsh government to spend money it doesn’t have, and all the while they are planning to slash Wales’ budget significantly. They should be honest with the people of Wales about their spending plans.”
