Retailers express concern at failure to consult for Business Rate Supplements

For this legislation to be workable and effective, the BRC believes it is vital there is adequate opportunity for public debate and scrutiny, which has not happened in this case.

The Business Rate Supplement represents a significant extension of local authorities' powers. The Government is proposing that, for the first time in almost twenty years, local authorities should be given the power to raise revenues directly from businesses. To seek to introduce such a significant change without proper consultation is a real cause for concern.

The BRC is not satisfied with the level of protection for business which the Government has to date included in its proposals. The BRC believes that additional safeguards must be introduced to prevent some local authorities from simply using business as an additional revenue stream.

Stephen Robertson, BRC Director General said: “With retailers facing tough trading conditions, they need less burdens placed on them by Government, not more, so that they can effectively deliver further employment opportunities, skills training and play a vital role in regeneration.

“There's a real danger that the proposals outlined in the draft 'Queen's Speech' will lead to cash-strapped local authorities shoring up their finances by raising additional revenue through Business Rate Supplements. To prevent local authority abuse, it's essential that businesses are given safeguards, such as giving them a vote whenever a business rate supplement is proposed.”