Retailers paying one-third of all UK business rates despite making up only 9% of economy
Posted on in Business News , Cycles News
The findings show that retail and hospitality sectors together cover one-third of all business rates in the UK, despite making up just 9% of the national economy.
The BRC and UK Hospitality have jointly urged the chancellor to address this imbalance in the upcoming Budget.
In the 2023-2024 period, the two sectors are expected to pay nearly £9 billion in business rates, amounting to 34% of the total bill. When current relief ends in March 2024, these sectors could face a combined £2.5 billion hike, pushing their bill to £11 billion, equating to 44% of total business rates.
BRC Chief Executive Helen Dickinson highlighted the impact, saying: “Consumers want diverse and thriving high streets, but this is held back by the broken business rates system. It is the biggest barrier to local investment and prevents the creation of new shops and jobs.”
She added that the Budget presents “a great opportunity to right this imbalance, ensuring that retail pays a fairer level of business rates.”