Tesco to repay business rates relief
Tesco is to repay the £585 million worth of business rates relief it received from the UK Government and devolved administrations during the coronavirus pandemic.
The supermarket said the offer of relief was a game-changer in the early stages of the pandemic as it gave it the immediate confidence to invest in its staff, online capacity, suppliers and Covid-19 safety measures. It also said every penny received has been spent on its response to the pandemic which it estimates will cost it around £725 million this year.
Explaining the reasons to repay the relief, Tesco group chief executive Ken Murphy said: “We have invested more than £725 million in supporting our colleagues, putting safety first, more than doubling our online capacity to support the most vulnerable customers in our communities, and hiring thousands of additional colleagues at a time of need. While business rates relief was a critical support at a time of significant uncertainty, some of the potential risks we faced are now behind us.
“Every decision we’ve taken through the crisis has been guided by our values and a commitment to playing our part. In that same spirit, giving this money back to the public is absolutely the right thing to do by our customers, colleagues and all of our stakeholders.”
