XN000022-1972-03-01 — Page 53

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Wednesday, March 1, 1972

"Having regard to the rapid development in these areas since

then, there is a very strong case for bringing the rate up to that

applicable in the urban areas proper; but for the moment I propose that

no such change should be made and, therefore, the rate will remain at

11 per cent," he said.

He added that eventually the rate should be in line with that

applicable in the urban areas.

"But this lattor objective can best be achieved by a phased

programme so as not to disrupt unduly landlord and tenant relationships."

Other Areas In N.T.

"I hope that a start can also be made to bring other areas in

the New Territories into rating with effect from April 1, 1974 benefiting

the revenue by about 34 million to $5 million; the areas I have in mind are Tai

Po, Yuen Long, Clearwater Bay Road and Tsing Yi," the Financial Secretary said.

Whilst he believed Government could afford to make a concession

in the rate charge applicable with effect from 1973/74 in view of the

increased assessed values resulting from this year's revaluation, this did

not mean that the new rate could remain unchanged for yet another 40 years.

He pointed out that as a result of the downward revaluations

of 1967/68 and 1969/70, the total of rateable values and thus the growth

of revenue from rates had been rather less than previously.

e wore able to accept this in the general financial situation

then prevailing but should there be any downturn in rents which is reflected

in the revaluation scheduled for 1975/76 resulting in a slower growth

of revenue from rates, we may have to consider raising the rate charge again."

"I hope ..