Skip to content

Entrepreneurs Panel

Steve Purdham
Julie Meyer
Laura Tenison
Brian Hay
Jennie Johnson
Debbie Pierce
Charlie Mullins
Tony Caldeira
Jeremy Roberts
David Pollock
Michael Oliver
Richard O'Sullivan

Business rates "killing the high street"

Business rates are crushing small businesses and are killing the high street, John Allan, national chairman of Federation of Small Businesses (FSB) has said.

He made the comments following the release of a report conducted by the FSB which revealed that seven per cent of small firms are paying more in business rates than in rent.

Of the 2,500 businesses that participated in the survey, 20 per cent said they said that they pay full rates, while six per cent said that their rates and rent costs are about the same.

Allan described the current business rate system as "outdated and unfair" and said that businesses will be continued to be lost if changes aren't made.

He added, "The current rating system is a blunt tool for maintaining the Government's income even when everyone else's is shrinking.

"It takes no account of ability to pay, or changes to economic conditions. It is based on rental values but only adjusts its valuation assumptions every five years.

"Its treatment of empty property is tantamount to a tax on no income, and it continues to use RPI for annual tax increases because it is normally above the Governments official measure of inflation, CPI. The FSB wants to see a level playing field for all business."

Allan called for a major overhaul of the system and said that the Government needs to talk to firms about what changes could be made.

By Kirsty Hewitt

  • Kathryn Parsons, co-founder of Decoded, started with little more than faith and determination, but four years later it’s grown into a global business. Ahead of her appearance at Accelerate 2015 in...

  • Author, writer and marketer Ryan Holiday on how entrepreneurs need to interpret failure.

  • Sue Vizard, business coach and author of Jump Start: The Start-up Book for Your Dream Business, looks at some of the questions solo entrepreneurs should ask themselves.

  • Ian Wright, founder and chief executive of NonExecutiveDirectors.com, is bringing together SMEs and NEDs - without the hefty recruitment fees.

  • Former professional golfer turned entrepreneur Colin Stevens has had a busy 18 months. The Better Bathrooms founder has increased turnover at the firm, secured a multi-million pound investment and...

Five Minutes With

Reputation is everything when it comes to running a successful business, according to Sacha Lord-Marchionne and Sam Kandel, founders of the Warehouse Project (WHP), a series of club nights featuring DJs from all over the world, which was launched back in 2006.

After travelling the world in a corporate role, Mike Wheeler decided that he had had enough of living out of a suitcase and so got a job running a small family business.