ACS has set out its recommendations to the Chancellor ahead of the 2020 Budget on March 11th, calling for changes to policies on business rates, crime and employment costs to help boost the UK’s 46,000 local shops.
In the submission, ACS has urged the Government to give local shops and other small businesses the green light to invest without facing an increase in their rates bills as a result. Convenience stores invested £558m in their businesses in the year to November 2019, but this was down almost a quarter on the previous year.
The submission also calls on the Government to support local shops in continuing to provide flexible, secure jobs to around 405,000 people. Rising employment costs show no sign of slowing down, so help is needed to offset the increases in the form of a significant increase in the Employment Allowance and an uplift in the threshold for employer National Insurance Contributions.
ACS chief executive James Lowman said: “This Budget is a huge opportunity for the Government to affirm its commitment to supporting local shops by taking long overdue action on reforming the business rates system, providing mitigation for increases in employment costs, and ensuring that the communities that our members trade in are safe for both colleagues and customers.”
Other measures recommended in the Budget submission include:
- Support a better funded justice system to deal with criminals who repeatedly target local shops
- Commit to funding the enhanced rate relief scheme for the rest of this parliament
- Remove ‘through the wall’ free to use ATMs from the rating system to sustain access to cash
- Freeze duty levels on alcohol and tobacco products, as well as on fuel
- Provide clarity for retailers and wholesalers on how the track and trace system is going to work post-Brexit transition
- Consult with business groups on the UK’s overall approach to regulatory divergence after leaving the EU
The full Budget submission is available in the submissions section of the ACS website.
Listen to the Budget preview episode of the Local Shop Podcast now, where Chris, Ed and James discuss why the recommendations set out in ACS’ submission are important in helping our sector: https://audioboom.com/posts/7484991-budget-2020-preview
