    |
|||
        |
|||
Supplementary Business
Rate
Jerry Schurder, head of rating at Gerald Eve and president of the Rating
Surveyors’ Association, says that Bristol businesses should be balloted
on whether they are prepared to pay the supplementary business rate announced
in the Chancellor’s recent Pre-Budget Report.
“Bristol could raise one of the highest supplements outside London,”
Jerry says. “According to our research, the new levy of 2p per £
of rateable value could raise £5.2m from the 1,400 businesses within
the city that would be liable to pay. But because of the proposed exemption
for properties with a rateable value of below £50,000, only around
10% of Bristol’s businesses would actually pick up the tab.”
Jerry argues that give the relatively small number and proportion of businesses
that would be affected by the new supplementary rate, the system would
be significantly fairer and more acceptable if those businesses were permitted
a ballot. “This would remove much of the antagonism towards the new
tax,” he states, “and would empower businesses so that they
were more in control of the whole process.”
The government has issued a White Paper covering the principles of the
supplementary business rate, the purpose of which is to support
Jerry is also strongly critical of the government’s lack of consultation on business rate reliefs and exemptions. “Sir Michael Lyons recommended a review of all rating reliefs and exemptions and not just empty business rates relief,” says Jerry. “The latter will be greatly reduced from next April albeit without property consultation. But no further changes have been announced, despite the fact that Lyons suggested reviewing whether agricultural businesses should remain exempt, as well as other reliefs such as the 80% rates relief granted to charities.
With astonishing arrogance, the government claims to have undertaken a review behind closed doors, without asking for a single view on reliefs and exemptions. Why on earth did it bother commissioning the review if it was simply going to ignore Lyons; key recommendations?”