Chancellor Rachel Reeves will look at fixing the cliff edges in business rates
that can discourage small business investment and growth, according to a report
from HM Treasury.
Currently when a business opens a second property, they will lose access to all
Small Business Rates Relief (SBRR) unless they meet specific conditions, holding
businesses back from expanding.
That means that a local bakery would have to pay thousands of pounds more for
opening a small shop in the next village.
The report confirms that the government will review how SBRR can support business
growth, potentially lifting growth and living standards in the future for those
who work in these small businesses.
This is one of the options being explored in the Treasury's business rates
interim report.
Chancellor of the Exchequer, Rachel Reeves, said:
'Our economy isn't broken, but it does feel stuck. That's why growth is our
number one mission. We want to see thriving high streets and small
businesses investing in their future, not held back by outdated rules or
strangled by red tape.
'Tax reforms such as tackling cliff-edges in business rates and making
reliefs fairer are vital to driving growth. We want to help small businesses
expand to new premises and building an economy that works for, and rewards
working people.'
Internet link: HM Treasury