MERSEY port companies faced with crippling hikes in their business rates will be thrown a lifeline today when MPs order the Government to save them from bankruptcy.

A damning report by a powerful committee of MPs will fiercely criticise ministers’ response to the crisis triggered by a shake-up that landed firms with shock tax bills backdated three years.

Some port companies have already gone to the wall and many others are sacking workers as they struggle to pay up. One received a backdated bill for £2m – enough to make it technically insolvent.

Today’s report, by the Treasury sub-committee, sides entirely with the port companiese, by:

Attacking the Government’s proposal to allow higher bills to be paid over eight years, warning it could still leave “many firms technically insolvent”.

Recommending instead that introduction of the new rates system be delayed by five years until 2010.

Urging the Government to step in to ensure firms that have already paid rates to their port operator do not end up paying twice.

Blaming the fiasco on the Valuation Office Agency’s (VOA) “failure to communicate changes promptly and effectively”.

Highlighting budget cuts and industrial action at the VOA.

The conclusions heap pressure on John Healey, the under-fire local government minister, who has refused further concessions beyond spreading payments over eight years. David Pendleton, the head of the Mersey Maritime Group, said: “This report completely vindicates what we have been saying since last September. We are delighted that our concerns have been listened to.”

Detailed figures reveal that the overall annual rates bill for companies at the Port of Liverpool has leapt from £3.7m to £16.97m.

The switch – which makes individual firms, rather than the port operator responsible for paying rates – has also hiked bills at Garston port from £163,000 to £978,050.

Mr Healey has repeatedly insisted it would be impossible to undo revaluation from 2005 without bringing legislation before parliament, a time-consuming process.

The minister also refused to get involved in disputes with port operators who have already demanded contributions from companies for rates paid since that date.

But today’s report concludes: “Consideration should be given to the proposal to maintain the rateable values of premises in statutory docks and harbours at the levels published in the April 2005 rating lists until the new ratings list is published in April 2010.”

The Mersey Dock Rating Group has warned that 3,000 jobs are at risk.

Mr Pendleton's comments were echoed by Louise Ellman, the Riverside MP, who said: "This reinforces the importance of the government looking at this matter again. They have taken action – but it's not enough."