ACS calls for reduction in annual business rates increase
The Association of Convenience Stores is asking retailers to supply information to support its call to the Chancellor George Osborne for a one-off reduction in the annual increase in business rates.
The association is arguing that business rates should not be increased by the Retail Price Index from the previous September as is normally the case, as this year September’s RPI was unusually high at 5.6%. The ACS says that retailers could be faced with a significantly increased rates bill despite forecasts suggesting inflation will have fallen by the time the rates are affected.
ACS Chief Executive James Lowman said: “A rates increase of this scale is simply not affordable at a time of such low growth and many cost pressures being faced by retailers. We will be asking the Chancellor to announce in his Autumn Statement a one-off dispensation to apply a lower rates increase in these exceptional circumstances.”
The association is asking retailers to send it details of their 2011 rates bills in confidence and the information will be used to show the impact on local shops. It is also seeking information about how the rates rise will affect businesses in terms of investment decisions, staff employed, and prices.
