Deputy director of the Adam Smith Institute, Sam Bowman, discusses why devolution of business rates may not make that much of a difference to business owners, and argues the merits of a land value tax system instead.
If and when they do revalue business rates, theres a disincentive to anybody who is a business or is a land owner to improve the property that they're on, and we don't want that. What we want is them to only be paying the value of the land, and to try and get as much as possible from that land, by building as much on that property or the most profitable thing they possibly can. We'd get that with a land value tax, we don't really get that really from business rates.
Listen to Sam's full interview here. (Starts 27:17)