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NDNA calls for business rate exemption for nurseries

The National Day Nurseries Association is calling for all nurseries to be exempt from business rates, following Ed Miliband's pledge to lower them for small businesses.

The rate reduction would arise from a shift in taxation that would see large corporations pay more, so that business rates for small premises could be cut.

The NDNA, which has long campaigned on the issue, welcomed the plan but urged Labour to go further, arguing that nurseries should be exempt from paying business rates altogether, because they provide a public service.

A recent NDNA business survey found that 53 per cent of respondents cited rising business rates as a threat to their sustainability.

The association said that nurseries like other small business worked to a tight budget and that rate rises during the recession had inevitably led to fee increases for parents.

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