IRRV Alert - week ending 6th July 2018
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Concerns over financial burden of business rates on high street businesses
Concerns over financial burden of business rates on high street businesses
Following the Treasury Committee’s evidence session with the Valuation Office Agency (VOA) last month, Rt Hon. Nicky Morgan MP, Chair of the Treasury Committee, wrote to Rt Hon. Philip Hammond MP, Chancellor of the Exchequer.
- Letter from the Chancellor of the Exchequer to the Chair regarding Business Rates, 28 June 2018
- Inquiry: Work of the Valuation Office Agency
- Treasury Committee
Mrs Morgan expressed the Committee’s concerns with the financial burden that business rates are placing on high street businesses, and asked if the Chancellor believes that business rates are still fit for purpose. Mrs Morgan also asked if the Treasury has conducted any analysis into the competitive advantage for businesses that focus on online sales.
The Treasury Committee is today publishing the Chancellor’s response.
Commenting on the correspondence, Mrs Morgan said:
"It’s clear that many bricks and mortar stores are struggling to remain competitive against online retailers, with the Chancellor admitting that business rates can represent a high fixed cost for some businesses.
The Treasury Committee is increasingly concerned with the financial burden that business rates are placing on high street businesses, and has examined the issue in its inquiries into VAT and the VOA.
We are likely to scrutinise business rates further as part of our Autumn Budget inquiry later this year."