Co-op warns 60,000 small shops and 150,000 jobs at risk without business rates reform
Co-op has warned that the UK’s high streets face a critical moment and that 60,000 small shops and 150,000 jobs could disappear without business rates reform.
The news follows new research by revealing that around seven in ten UK adults (69%) lack confidence in the Government’s ability to deliver on its promises of relief for small businesses, despite commitments in previous budgets.
Among small high street business owners surveyed, 10% said they would need to lay off staff, while one in eight reported that their business would be at risk of closure.
Meanwhile, 77% of small high street shop owners in England said business rates reform is essential for survival.
In addition, YouGov research shows that more than half of UK adults (56%), equivalent to over 30 million people, consider local shops important to their wellbeing. Furthermore, three in four (74%) believe their community would “lose part of its identity” without these businesses.
Shirine Khoury-Haq, Co-op Group chief executive, said: “As we approach a critical Autumn Budget, there’s a real danger that the voices of small shops – and the communities they serve – are not being heard. Local shops aren’t just businesses; they’re part of the social fabric of Britain. For some, a visit to a local store is one of the few chances they have to chat to someone and feel connected.
“This research shows a clear public mandate for action. Regardless of how they vote, the majority of people want the Government to do more to protect their high streets. This is an opportunity for the government to really prove to people that they will do what it takes to make a difference to people’s communities and to their wellbeing.”
Insight from Co-op’s Big Survey shows that 67% believe their high street is dying, 78% say it is worse than five years ago, and 83% see it as vital to community wellbeing. In addition, members are calling for more independent shops and community spaces.
Subscribe to TRBCo-op said its 6.9 million members want thriving local shops, safer high streets and stronger communities and that its On Your Corner, In Your Corner campaign responds to that mandate.
Khoury-Haq added: “The proposed system would improve the financial situation of 99% of retailers. How much they are protected from tax rises depends on decisions made in this Budget. To boost local economies, create jobs and provide community cohesion, we need inclusive growth.
“That means supporting the businesses on the corners, in the precincts, on the parades and the high streets of every community. In order for them to not only survive, but to thrive, the Government has to commit to the maximum levels of relief.”
