While many are focusing on the contents of the King’s Speech, outlining the government’s legislative agenda, others are pondering what was not mentioned.
When I talk to licensees and pub owners, one of the subjects that comes up regularly is a desire for business rates reform. No mention of it in today’s speech.
That’s disappointing, says John Webber, head of business rates at commercial property specialist Colliers. He has been one of the major voices calling out for reform over the years of Conservative government and through the recent election campaign.
He says: “After more than 30 years of mismanagement from successive governments, we now have a system with a multiplier at over 50p in the pound, which effectively means a 50% tax on property occupation, a complicated relief system with business rates deserts in some parts of the country and an appeal system that’s inefficient, lacking transparency and increasingly difficult for businesses to negotiate without an adviser. The current system is just not fit for purpose. This situation is unsustainable.
“With declining high streets across the country, there is no excuse for the new government to avoid addressing the business rates problem or to introduce significant reform. We urge them to act soon.”
What we may find, of course, is that the matter is tackled at local or regional levels. The King’s speech did say: “My Government believes that greater devolution of decision making is at the heart of a modern dynamic economy and is a key driver of economic growth, and my ministers will introduce an English Devolution Bill.
“Legislation will be introduced to give new powers to metro mayors and combined authorities. This will support local growth plans that bring economic benefit to communities.”
Hopefully, those power will address business rates reform.
