Business rates were the subject of a lead story in this week’s issue of Optician and the situation has developed since.
The Chancellor’s Autumn Statement, which promises to cap the scheduled increase in business rates at 2 per cent instead of 3.2 per cent, will of course come as some relief to high street operators. There was also a promise to look into business rates reform but not until the next election – for those who can see it out until then.
It means a system based on outdated and inflated rental values still exists, with the British Retail Consortium calling for a complete overhaul.
There is though a glimmer of hope for those nearing the end of their lease.
Conlons Opticians, for one, has managed to negotiate lower rents with its landlords, who would otherwise face the costs of empty premises. Such measures will help control costs and prevent margins being squeezed any further.