The Government has announced a long-awaited review into business rates. Business groups said the way the tax was calculated was outmoded, clunky and regressive, and that it was an anchor on growth and investment on the high street.
George Osborne said he would also continue to cap the increase in business rates at 2 per cent, which is below RPI inflation. Furthermore, for businesses whose rateable value is below £50,000, an existing £1,500 discount on business rates will be extended for another year.
The news, which has been welcomed by bodies representing independent retailers, comes ahead of this weekend’s Small Business Saturday initiative, designed to promote the benefits of supporting high streets and small shops across every retail sector.