Autumn Statement must address Business Rates, say retailers

The Government’s Autumn Statement must take action on Business Rates, retail collectives have argued.

In a submission to the Treasury ahead of the November 23 Autumn Statement, the Association of Convenience Stores (ACS) called on the Government to do more to reform “unfair” business rates.

ACS called on Chancellor Philip Hammond (pictured) to introduce measures allowing businesses to offset investment against their rates bills.

The group, which represents 33,500 stores, also called for businesses with a rateable value of under £50,000 to be exempt from the proposed business rates Infrastructure Levy.

Business rates in England were reviewed in early October, proposing cuts in the local tax rate at more than 300 of 431 retail centres.

These will apply to convenience stores and other businesses from April 2017. London’s surging property prices, however, saw its rateable values increase for retailers by an average of 26.8%.

ACS chief executive James Lowman said: “Many businesses will see their rates bill fall slightly as a result of the recent revaluation, but there are still thousands that will see their bills increase.

“The business rates system remains unbalanced, unfairly targeting businesses like forecourts that have high turnover but relatively low profit margins.”

The ACS’s made a number of other recommendations for the Chancellor’s Autumn statement recommendations.

It called for the Low Pay Commission to set wage rates based on objective economic analysis, for a reintroduction of centrally funded statutory sick pay, a delay to the Apprenticeship Levy, and a freeze in duty rates for alcohol and tobacco.