Budget 2010: Small shops get a welcome reprieve while established retailers are left to fend for themselves
Published: 25 March, 2010
Small shops will benefit from the Chancellor’s “welcome” reduction in business rates, but worries have surfaced over the lack of support for established retailers.
In his Budget speech, Chancellor Alistair Darling announced that business rates would be cut for one year in October, meaning a tax reduction for half a million small businesses and exemption for 345,000 with a rateable value up to £6,000 pa.
While the British Retail Consortium is pleased with the support this will provide for the smallest shops, it is concerned for Britain’s largest retailers still in urgent need of support after 2009’s recession.
BRC’s director, Stephen Roberston said that the Budget “makes no difference to established retailers,” which provide the majority of the UK’s three million retail jobs.
“Retailers inevitably use a lot of property. They already pay a quarter of all the £24 billion a year raised in business rates – more than any other sector,” said Robertson.
“He should be making business rates more affordable for all retailers. And we need compulsory business ballots to prevent Business Rates Supplements being abused by local authorities and a restoration of rates relief on empty properties.”
