BUSINESSES facing big rise in rates from last April will be given money off as part of a government scheme.

Proposals will cap business rate increases for some small businesses and set up a relief scheme to support others.

The Discretionary Relief Scheme will run for four years but central government funding for this will drop every year.

Oxfordshire County Council and Thames Valley Police have worked with agencies and other Oxfordshire district councils to agree to run the scheme countywide.

It will offer an 8.5 per cent reduction to businesses with a rateable value below £200,000 and which meets its other criteria. Oxford City Council’s executive board agreed to allow the rates schemes to go ahead on Tuesday.

The authority said the Discretionary Relief Scheme will save businesses about £360,000 in rates.

The Supporting Small Business Relief scheme will cap business rate increases each year between 2017 and 2022.

Deputy leader of Oxford City Council Councillor Ed Turner said: “We are pleased to agree this help for small businesses to cope with increases in their business rates.

“We have agreed an Oxfordshire-wide discretionary relief scheme with the county, the police and the other districts, which will offer much-needed support.

“We will be contacting businesses as quickly as we can to invite them to apply for rate relief from the schemes.”