asked the Secretary of State for the Environment whether he is satisfied with the workings of the Local Government Act 1974; whether he will consider exempting small businesses from the effect of Section 16 of that Act; and if he will make a statement.

I have no reason to be dissatisfied with the working of the Local Government Act 1974 in this regard. I do not think it would be appropriate to exempt small businesses as a class from the operation of Section 16 of the Act since the mischief at which the section is aimed could arise, albeit on a smaller scale than in larger concerns. Where hardship would otherwise be caused, rating authorities have power to reduce or remit the amount payable.