Express & Star

Labour leader Ed Miliband vows to cut business rates in Express & Star interview

Ed Miliband vowed to cut business rates as he tried to position Labour as being on the side of employers and their workers.

Published

After a bruising series of criticisms over the party's business credentials, the Labour leader used a visit to the Jaguar Land Rover engine plant in Wolverhampton to outline a plan for the economy, promising an apprenticeship for every school leaver who gets good grades and a cut in business rates.

In an interview with the Express & Star Mr Miliband said the plan would not hit council budgets because the discount would come from central government.

"It is a different choice that we've made," he said. "The Tories say cut the corporation tax. We say business rates. It's hundreds of pounds on average, a significant amount. It depends on the size of the business. If you're a larger business with larger premises it will be a cut, then a freeze.

"We've said councils will be able to keep 100 per cent of the uplift in their business rates. If they get more businesses in, they will be able to keep the business rates. That's an important incentive. But the cut in business rates is funded by us. We're not expecting the councils to fund it."

Mr Miliband also said he would plough ahead with devolution of powers for the West Midlands, including to a combined authority for Birmingham and the Black Country.

But he was adamant that Birmingham would not swallow up the four boroughs.

Follow my leader: Ed Miliband with Caroline Flint, Ed Balls and Chuka Umunna at the launch of Labour's economic plan launch at the JLR factory on the I54 site in Wolverhampton

And he said Labour would have a national infrastructure commission to stop plans for roads or rail being 'kicked into the long grass' and also provide better access to finance.

Labour also wants to create 80,000 apprenticeships by guaranteeing one for every school leaver who gets good grades.

Asked if the Black Country would stand in its own right he said: "I'm sure it will. We've said this is a decision for local people and local councils. They have decided it's better to be in a Black Country and Birmingham city region. I think that's the right decision. It will mean fairer decisions are made across the city region rather than a Birmingham city region against the rest.

"A combination of great council leaders, a combination of great local MPs making the case for the Black Country, I'm sure this can be done in a way that benefits both Birmingham and the Black Country."

The Labour leader faced criticism for bringing his front bench team - including shadow chancellor Ed Balls, shadow energy secretary Caroline Flint and shadow business secretary Chuka Umunna, to the i54 in Conservative held South Staffordshire.

Tory MP Gavin Williamson said Labour had shown a 'brass neck' for doing so because the £500 million Jaguar Land Rover site had been created after the coalition came to power and arrangements were made for gas and electricity supplies to be put in.

But Mr Miliband said: "The Conservatives want to argue about who gets the credit. What I would say to you is it was an active industrial policy that led to happened to JLR in the UK under a Labour government. Secondly, it was a local council, driven by Labour that worked with JLR.

"If you talk to people at JLR, and I don't want to drag them into this, but if you talk to them they say it was the local council that made such a difference to them. The Tories want to argue about who claims credit but JLR's a great company. I think the people who deserve the most credit are the workers and managers at JLR.

"We don't have enough JLRs. There's a big difference. The Tories think what we have in terms of jobs is good enough. The economy cannot be so dependent on low skill, low wage jobs and that's the point of our plan."

Emma Reynolds, Labour MP for neighbouring Wolverhampton North East, added: "It was under the last Labour government that the i54 was identified as a major strategic site to boost the local economy and create jobs. It was thanks to the work of the regional development agency, Advantage West Midlands, that the site was cleaned and made ready for investment."

Sorry, we are not accepting comments on this article.