Sir Philip Green calls for overhaul of business rates
Philip Green has a point in an issue which is very important to the viability of our market town High Streets – this article tells us:
He said the Treasury had the ability to fix the system so that the Government always receives the same tax take from retailers whatever the state of the economy, and this must change.
In a strongly worded attack on the present system, the proprietor of Topshop owner Arcadia said that the Government deliberately inflated rates despite the fact that rents were falling because of the poor state of the economy. He called for a rates freeze and a “rates holiday” for small shop owners.
Sir Philip said that the Government’s decision to delay a rates revaluation until 2017 did not take account of the fact that “the world has changed” since the last review in 2008.
“There was due to be a revaluation in 2015 and they are now trying to push it to 2017,” Sir Philip said.
“In the meantime what they [the Government} are able to use is a mechanism [called the] ‘uniform business rate’ [and] if there is a devaluation or the rent moves downwards they have this mechanism where they can inflate, they can create a value of their own.