The business rates system is close to collapse under the weight of over 300,000 overdue appeals, while businesses across the South East prepare for huge new bills.
Some of the appeals date back to 2010, but it is thought that the problem will grow significantly when new valuations are published next month.
Speaking to the Daily Mail, commercial agents Colliers International said the Valuation Office Agency, which oversees business rates, is “understaffed and demoralised.” The Agency has seen consecutive years of cuts, including a 20 per cent reduction in 2009-10 alone.
Colliers also reports that many business owners are expected to see huge spikes in their rates bills as valuations are brought in line with contemporary property pricing, with the previous revaluation happening in 2008, in the midst of the property market slump.
Webber told the Daily Mail: “The government’s decision to delay the last revaluation will come home to roost in a matter of weeks when we predict massive hikes across London and the South East.”
Businesses and commentators have long been calling for new reliefs on business rates to combat rising property prices and the impact of the delay in revaluations.
Small business rate relief is currently available to businesses with only one property, which has a rateable value of less than £12,000.
Do you expect your business rates to increase as valuations are adjusted? Tell us in the comments.
We create this content for general information purposes and it should not be taken as advice. Always take professional advice. Read our full disclaimer
22 June 2020 • 9-minute read
How to start a clothing business. It can be an all-consuming process but with that first sample run and customer sale comes great…
19 November 2020 • 2-minute read
Landlords could be hit by another massive tax raid, as the Office of Tax Simplification outlines its recommendations for an overhaul of…
6th Floor99 Gresham StreetLondonEC2V 7NG
Sol House29 St Katherine's StreetNorthamptonNN1 2QZ
© Copyright 2021 Simply Business. All Rights Reserved. Simply Business is a trading name of Xbridge Limited which is authorised and regulated by the Financial Conduct Authority (Financial Services Registration No: 313348). Xbridge Limited (No: 3967717) has its registered office at 6th Floor, 99 Gresham Street, London, EC2V 7NG.