Business rates to rise, but independent stores granted more protection

Analysts said convenience stores would see their rateable values increase by more than 12%, but smaller independent shop owners will be protected from the increases by a rise in business rates relief.

Last week, the Chancellor put this up for eligible retail businesses from the current 50% to 75% from April 2023, up to a maximum if £110,000 per business.

Jerry Schurder, business rates policy leader at property specialist Gerald Eve, added that the increase in relief was good news for smaller, single store operations but that larger, multi-site operators might find themselves paying more.

However, more than a third of all businesses in the UK qualify for business rates relief, so most convenience stores will continue to qualify.

The Valuation Office Agency (VOA), the government agency that updates the rateable value of all businesses, released the latest values last week.

The rateable value produced by the VOA is the basis on which local authorities calculate actual business rates bills, although a rise in rateable value does not necessarily mean business rates will go up by a similar amount, partly because of the various reliefs.

Businesses in England or Wales can get an estimate of their likely business rates bill online at https://www.gov.uk/find-business-rates

The site enables business owners to check the factual details held about their property, make comparisons with the rateable values of similar properties nearby and check how the valuation was calculated.

STORY UPDATED 11.40am 22 NOVEMBER TO INCORPORATE COMMENT FROM GERALD EVE