Local businesses need help!

Friday, 12 February 2010

Local business owners could be in line for a reduction in their business rates. The North-West Valuation Office (part of HM Revenue & Customs) is currently looking at Mersey areas that have been affected by the Liverpool One shopping centre, with a view to lowering their rate levels.

Competition in retail is ever more intense which is why local businesses are being considered for a 7-10% decrease in rates. Pubs too affected by supermarket sales are also being considered.

Norwood Cllr David Sumner has spoken to Valuation Tribunal Officers about the issue and the potential for rate decrease. 'The Council has been approached by many businesses concerned by the impact of the retail sector slump and looking for and needing some relief. They are still very much investigating the possibility, so no promises can yet be made to the business community.'

Local MP John Pugh has welcomed these moves. "Back in 2008 the CBI argued for a business rate freeze for a year because of the financial crisis. This didn't happen, and rates have continued to rise. Here in Southport businesses have to contend both with the recession, but also with stiffening competition and reducing fixed overheads like business rates can only help"     
   
Dr Pugh recently undertook a study of empty shops and the impact that the recession is having on the local economy.     
   
"Even if this rate relief doesn't happen, there has to be more done to help businesses. Firstly, the Council needs to adopt a retail strategy that encourages clusters of shops in similar trades. There also needs to be talks between retailers and local banks about the support individual banks can give to businesses. Other methods of support should be considered, such as giving temporary parking concessions at key times in the year to maximize trade."