Inquiry into unfair business rates system welcomed by small firms

FSB
Mike Cherry of the FSB

Responding to the Treasury Committee’s announcement that they are launching an inquiry into the impact of business rates in England, Mike Cherry, National Chairman at the Federation of Small Businesses (FSB), said:

“FSB has worked with Government to secure a set of reforms to business rates since 2016 – doubling small business rates relief, linking annual rises to CPI, transitional relief, and now a high streets discount.

“The tax, however, remains regressive and not linked to ability to pay. A small business on the high street is hit by business rates before it makes its first £1 in turnover, let alone profit. These small firms are the lifeblood of our high streets, town centres and local communities.

“We welcome the inquiry as the next step in building on the recent work to help, and sort out a modern tax system that balances the need to fund public services with protecting our vibrant 5.6m-strong small business community.”