𝓤𝓷𝓲𝓽𝓮𝓭 𝓝𝓮𝔀𝓼

Business rates are Britain’s Achilles heel and action is needed to save our high streets and rescue the economy, Labour has been warned. Sir Keir Starmer’s Government has announced £150million to “turn the tide on ailing high streets” but an organisation representing 19,000 companies and 18 million workers has sounded the alert about soaring worries among British traders.

Jonny Haseldine of the British Chambers of Commerce said: “Extra Government cash to help revive high streets in England is welcome. However, business rates continue to be the Achilles’ heel holding back firms in local communities across the country. Our research shows concern about business rates is at its highest in at least eight years, with a third of firms (34%) worried. That rises to nearly half of firms (49%) in the hospitality sector. With new employment laws looming, another inflation-busting rise in the minimum wage and continued global uncertainty, businesses costs are stacking up fast.”

Business rates were cited by the BCC’s members as a key reason for putting up prices and not expanding premises.

Demanding that Sir Keir’s team takes up the challenge of reforming rates, he said: “Successive governments have ducked business rates reform. Firms can’t wait any longer. Ministers must now deliver. Without urgent action on rates, business investment will continue to stall, high streets will struggle, and the economy will stay stuck in the slow lane.”

Shadow Chancellor Sir Mel Stride told the Express: “Business rates are the anchor dragging down Britain’s high streets and choking off growth. The message from businesses could not be clearer: costs are soaring, confidence is collapsing, and firms are being pushed to the brink. Under Kemi Badenoch, the Conservatives will take a different path – abolishing business rates for thousands of shops and pubs, backing business, protecting jobs, and breathing life back into our high streets.”

Research by YouGov this month found just 35% of those with a local high street said it was in a good state. Nearly eight out of 10 (78%) Britons said it is at least fairly important to them to have a high street in their local area – with one in three saying it is very important.

A Government spokesperson said: “We’re backing the high street with a £4.3billion Budget package to cap big bill hikes – stopping bills rising for over half of business properties. Our plan for small business will help [small and medium-sized enterprises] access the tools and support they need to unleash their potential, and later this year we’ll publish a new High Streets Strategy that will build on the £5billion Pride in Place programme to renew our neighbourhoods and high streets.”