Newcastle North MP, Catherine McKinnell, has slammed the Government for pressing ahead with a ‘Solar Tax Hike’ that could prove hugely damaging to both local community organisations and Britain’s solar industry.
Changes to the ‘rateable value’ of commercial rooftop solar installations from April 2017 will see the business rates for organisations like schools, hospitals, SMEs and community buildings, which consume power from their rooftop solar panels, increase by between six and eight times.
These changes are taking place as part of the Valuation Office Agency’s regular re-evaluation of business rates.
Catherine challenged Ministers on the issue during Treasury Questions in the Commons today (17th January), highlighting the impact both on organisations which have installed solar technology and on jobs in the UK’s solar industry.
Following questions today, Catherine said:
As a result of these changes, business rates for organisations with solar rooftop installations could dramatically increase by between six and eight times.
‘This will have a hugely detrimental impact for many community groups and organisations like schools, hospitals and small firms who installed solar technology in good faith and now face a massive tax hike which bears no relation to the revenue these installations generate.
‘Of course, this increase comes at the worst possible time for Britain’s solar industry following the Government’s draconian cuts to Feed-In Tariffs, with solar deployment now at a six-year low.
‘If the Government is serious about tackling climate change it needs to start supporting renewable technologies like solar, not make it totally unviable for people to install them – and the complete lack of joined-up thinking on this issue beggars belief.’