Member Article

Pickles hails business rates boost to help high streets

Over 31,500 enterprises across the North West are set to benefit from business rate support designed to help the UK’s high streets.

The changes have been announced by Communities Secretary Eric Pickles.

While many businesses already get hundred per cent discount, the changes that come into effect at the start of the new tax year mean that eligible small businesses in England will benefit further.

All businesses can now choose to spread their bill payments over 12 monthly installments rather than ten after rules were relaxed to give businesses greater control over their cash flow.

Mr Pickles said that the new measures would make a huge difference for struggling small shop owners and help businesses and high streets across the country build a stronger economy.

He added: “We are helping local communities secure the future of their high streets.”

Government estimates show where premises eligible for the new £1,000 retail discount are located.

In the North West, the breakdown shows that in Cumbria, up to 3,270 businesses may benefit, along with around 7.500 in Lancashire and 15,000 in Greater Manchester and another 6,000 across Merseyside. Other shops and pubs in small rural and suburban communities may also be eligible for the discount.

The government has noted positive reactions across the region.

Harry Knowles, Executive Director, Furness Enterprise Ltd, said: “The business rate support package I am sure will be warmly welcomed by businesses nationwide. Business rates are a significant cost and anything to keep their costs down will be very helpful”.

Phil McCabe, Development Manager, Merseyside, West Cheshire and Wigan Federation of Small Businesses, said: “Business rates are one of the biggest costs small businesses face so these measures, which amount to £1bn in support for struggling retailers and other firms, are a welcome step in the right direction.

“It is important that local councils work closely with their small business communities to ensure they benefit fully from the changes.”

Richard Gregg, Regional Chairman of the Federation of Small Businesses Manchester and North Cheshire said:

“Action from the Chancellor on business rates addressed some of the key concerns of FSB members. Too many businesses suffer from yearly price rises so capping the increases in business rates is a welcome measure.

“Equally welcome, was the news that the doubling of small business rate relief is to be extended, around 300,000 firms relying on 100 per cent rates relief.

“Relaxing business rates for those firms that want to expand and incentivising new businesses into empty properties on the high street will boost retail and town centres and retailers on struggling high streets will be especially heartened by the additional £1,000 relief.”

Lesley Martin-Wright, Chief Executive of Knowsley Chamber said: “The £1bn package of business rate support measure is hugely welcome news for Knowsley, and Liverpool City Region as a whole.

“The package will no doubt provide the support the retail sector desperately needs if we are to rejuvenate our high streets and provide a helping hand for small businesses.

This was posted in Bdaily's Members' News section by Simon Malia .