Sajid Javid accused of 'misleading' his own MPs over business rate rises

The Communities Secretary wrote a private email to all Conservative MPs hoping to quash rebellion over business rates, but the information contained within it has been cast into doubt

Sajid Javid faces a rebellion from his own party over rising business rates (House of Commons)

Communities Secretary Secretary Sajid Javid stands accused of misleading his party’s own MPs over increases in business rates, after he wrote an email to all Tory MPs in which he described an ongoing revolt on the matter as being led by “distortions and half-truths.”

Javid, who served in the more senior role of Business Secretary under David Cameron, wrote in the email that most businesses will not see any increase in their tax bills, but analysis shows that the Government’s calculations do not include inflation.

Independent analysis published last night from business rates specialist Gerald Eve indicates that rates will fall in 135 councils and rise in 191, and suggests local businesses will receive bills that will be 7 per cent higher than government ministers have indicated.

Chancellor Philip Hammond has indicated he is prepared to take steps in next month’s budget to help those most affected, including high street shops.

Mr Hammond has also previously said the system needs ‘fundamental reform’ to prevent the likes of amazon receiving preferential tax arrangements to high street retailers.

A spokesperson for the Prime Minister said she had "full confidence" in Mr Javid, and that 1.3m businesses would be better off under the new business rate system.

A Department for Communities and Local Government spokesman said: "This latest claim from (rating agent) Gerald Eve is nonsense - we have been clear how our figures are calculated and what they include.

"Councils and businesses can see how the revaluation is making bills fairer and is revenue neutral.

"This is yet more scaremongering, when in reality the revaluation will mean businesses in 80% of council areas will see an average fall in their business rates bills due to revaluation before inflation."