MORE than £700,000 per year will be available to boost businesses in North West Leicestershire thanks to a new deal between 10 authorities.
The county, city and district councils and the fire authority have agreed to pool business rates, to ensure that the money is spent in the area.
The Government used to collect business rates from councils and then redistribute them nationally. Under the new system, councils can keep a proportion of the cash.
But, areas which see a growth in business rates have to pay a proportion back to the Government, unless they agree to share it across their area.
By agreeing to pool their rates, they can keep at least £700,000 per year in the area, instead of sending it back to the Government. The money will be spent on economic development.
Byron Rhodes, Leicestershire County Council’s deputy leader, said: “By working together, we get to keep the cash raised from businesses in our area – and use it to help the wider economy. We are very pleased to agree such a deal.”