Businesses face 140% rates increase in April, says Colliers
21st January 2025 Thousands of businesses, including retailers, will see their rates more than double in April, according to a new report. Colliers said that shops, restaurants, pubs, gyms, and nightclubs could see their business rates increase by 140% from April 1st, when retail, hospitality, and leisure rates reliefs are reduced from 75% to 40%. The property consultancy firm has calculated that this will mean retailers currently benefiting from the relief will see their business rates bills increase on average from £3,751 a year to £9,003, restaurants will see a rise on average from £5,563 to £13,351 a year, while the average pub will also see its rates bill go up from £4,017 to £9,642 a year. The Retail, Hospitality and Leisure Relief Scheme was introduced by the Conservative Government in November 2022 in an attempt to protect the sector from high rates bills. The scheme provided eligible properties with 75% business rates relief up to a cash cap of £110,000 per business. However, the new Labour Chancellor Rachel Reeves announced this would be reduced to 40% in last year’s Autumn Statement. Colliers said that further rises will be unsustainable for many. According to a recent report from the Centre for Retail Research, store closures in 2025 are forecast […]
