The retail sector pays approximately £8 billion in business rates annually, a quarter of the total, while the sector represents 5% of the UK economy by Gross Value Added (GVA). At the Budget in October 2021, the Chancellor announced certain measures as part of the Treasury’s Fundamental Review of Business Rates. This included a freeze to the multiplier for 2022/23, which stands at over 50% in England; a 50% relief for the smallest businesses for 2022/23; and move to three-yearly revaluations. Business rates are becoming one of the biggest overheads for physical retailers and high streets, which are the centre of communities. They are struggling with the cost of keeping a physical outlet, particularly in higher deprived areas. Inflation has risen to a 13-year high, and the cost of living continues to put pressure on low-income families, how can shops survive this economic climate and remain an integral part of communities?

This event will:

• Consider if there needs to be further reform to the business rates system and how a headline reduction could support with the cost of living crisis.
• Discuss whether the multiplier needs to be frozen permanently and the case for reform of transitional relief following revaluation.
• Explore alternatives to business rates including proposals to introduce an online sales tax.