Today (18th November) Prime Minister Boris Johnson unveiled a package of measures in his speech to the annual CBI conference which aim to “help business flourish”.
In his speech, Johnson announced plans for a fundamental review of the business rates system to reduce the burden on businesses.
Figures from the ACS 2019 Local Shop Report show that the convenience sector currently pays around £308m in business rates.
ACS chief executive James Lowman said: “The problem we’ve had hasn’t been the lack of promises to review the business rates system, it’s that these have not been delivered and the overall burden keeps rising. We welcome this announcement, but businesses with rising rates bills, especially petrol forecourt stores who are treated very unfairly by the current system, want to see action.”
Last week, the Prime Minister also announced plans to increase the business rates discount for small businesses next year if re-elected. The proposals would mean that for businesses with a rateable value of less than £51,000, the retail discount would increase from 33% to 50% in 2020/21, saving the convenience sector an estimated £30million in 2020.
During his speech, the Prime Minister also revealed plans for an increase to the Employment Allowance from £3,000 to £4,000, saying that this would amount to a tax cut of up to £1,000 for more than half a million businesses.
Mr Lowman continued: “Rising employment costs are challenging our members' whole business model and viability. The increase in the Employment Allowance is welcome, but it doesn’t go anywhere near offsetting rising wage costs. The next government must implement a fair and evidence-based system for setting statutory wage rates, rather than allowing these to become a political football.”
ACS has been encouraging retailers to consider hosting a store visit with candidates in their constituency, to raise the issues that affect their colleagues and the day to day running of their business.
If you’d like more information or help to organise a visit, please get in touch with us on 01252 515001.
