11 November 2016 by

Business Rates Hike…Help May Be At Hand

The government has recently announced new property valuations for business rates.  But what does this mean for businesses in London?

Business rates, also known as “non-domestic rates” are a tax on non-domestic property.  At present, they are calculated based on rateable values in 2008, which came into force in 2010.  The new rates are calculated based on rateable values in 2015, and highlight the changes to Britain’s economy since the recession.

The government has estimated that London as a whole will register a 14% increase (before transitional relief) in its tax bill, whereas the rest of England will experience a drop.  The changes are intensified due to the government’s decision to delay the revaluation, so that it did not take effect before the last general election.

Typically, business rates are the third-largest outgoing for business, behind rent and salaries.  It is therefore a concern for businesses operating within tight margins, who may not be prepared for a steep increase in their tax bill.  To try and prevent the strain on small businesses, the government will be introducing transitional relief worth £3.4 billion for properties in England.

If you would like to discuss transitional relief, please do not hesitate to contact us.

If you would like to discuss business rates or transitional relief, please contact one of our solicitors in the Commercial Property team here.

27 October 2016 by

Having trouble squeezing payment from a big business? The playing field might just be levelling out

The Department for Business, Energy and Industrial Strategy (‘BEIS’) has recently opened consultation on ways in which the Small Business […]

4 November 2016 by

Uber and British Gas…Worker and employee rights – what next?

Commission and Holiday pay After much uncertainty, the Court of Appeal has confirmed that holiday pay should include basic pay […]

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