A group of organisations representing over 100,000 businesses has
written to all MPs expressing concern about the impact that
changes to business rates will have on their members in April.
The letter highlights the issues that thousands of businesses are
facing as a result of the revaluation, with many due to receive
significant increases in their rates bills.
The group is calling for action in the following areas:
- Changing the system so that it incentivises business to
invest instead of deterring them
- Increasing the frequency of revaluations to deliver more
accurate rates bills
- Ensuring that businesses can receive a fair hearing when
their rating assessments are incorrect
- Reducing the overall burden on businesses through effective
transitional relief and linking the multiplier to CPI before 2020
The letter states: “The future of business rates is a key
priority for us and we want to work with the Government to
deliver meaningful reform. We want to see action from the
Chancellor in the Budget to ease the burden on businesses that
will see an increase in their rates bills but also a longer-term
commitment from the Government to review property taxation in the
UK.”
ACS chief executive James Lowman said: “There are still
fundamental problems with the rates system which we’ve seen come
to light as business owners face their new bills from April. The
current system discourages investment for many business types, as
any improvement to that business results in an increase to their
rates bill. We are encouraging the Government to take action in
this area ahead of the Budget, as well as looking at the
appropriateness of separate rating schemes for businesses like
petrol forecourts which are seeing rates increases of up to
150%.”
Helen Dickinson OBE, Chief Executive, British Retail Consortium
said: “In the forthcoming Budget, retailers will hope to see
commitment from the Government to ease the burden across the
board by bringing forward the switch from RPI indexation to CPI
so that rates better reflect economic conditions. In addition,
the Chancellor should take the opportunity to ensure businesses
large and small receive business rates reductions following the
revaluation immediately, and implement the same protections for
those facing large increases that were in place during the last
revaluation in 2010.”
Melanie Leech, Chief Executive, British Property Federation
added: “At this stage, the Government can immediately support
businesses by making sure the appeals system is fair and not
stacked against them. Current proposals to limit the ability of
tribunals to correct excessive business rates assessments should
be dropped.”
The signatories to the letter are:
James Lowman, Chief Executive
Association of Convenience Stores
Kate Nicholls, Chief Executive
Association of Licensed Multiple Retailers
Brigid Simmonds OBE, Chief Executive
British Beer and Pub Association
Mike Spicer, Director of Research and Economics
British Chambers of Commerce
Ufi Ibrahim, CEO
British Hospitality Association
Melanie Leech CBE, Chief Executive
British Property Federation
Helen Dickinson OBE, Chief Executive
British Retail Consortium
Josh Hardie, Deputy Director General
Confederation of British Industry
Ross Murray, President
Country Land and Business Association
Martin McTague, National Policy Director
Federation of Small Businesses
Edward Cooke, Chief Executive
Revo
The full letter is available here: http://bit.ly/ratesletter
