Your business rates might be about to increase FIVE-FOLD in shocking changes

Many small businesses are still feeling the post-recession squeeze, and yet it could be about to get a lot worse.

Business owners are facing massive rises in business rates next year, as rising property values and an end to relief cause bills to soar.

Nearly one in 10 small businesses will be liable for at least a third more than they are currently paying, 600 will see bills double, while one newsagent in Bristol will be paying more than 500%, according to property consultancy Gerald Eve.

Earlier this year, some MPs called for business rates to be abolished completely, calling them “the most debilitating levy on existing businesses” in a business, innovation and skills committee report.

Speaking exclusively to LondonlovesBusiness.com, shadow business secretary Chuka Umunna MP said: “Businesses in London have worked extremely hard throughout the last few years when things have been exceptionally tough. It’s important that great London businesses like those in my Streatham constituency get a government that’s on their side, backing them to create more better-paid, high-skilled jobs.

“The cost-of-living crisis isn’t just hitting families but businesses have seen spiralling costs too and as a result our high streets have suffered. That’s why if we’re elected to government Labour will cut, then freeze, business rates to give small firms the boost they need.”

“Perplexing”

Sue Terpilowski OBE, London policy chair, Federation of Small Businesses, told us one in 10 London FSB members say that they are paying more in business rates than rents.

“The time has come for a full review of the current system as it is a perplexing tax which has a negative impact on businesses’ ability to invest in capital and employment,” she said.

“The GLA Economics recent study on business rates has shown that the business rates revaluation in 2017 will lead to London retailers seeing the greatest increases, followed by those in industrial premises.  Quite simply businesses can ill afford year after year of stinging increases.”

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