Being a business owner I have had my on going issues with regard to business rates . One policy I have always felt ridiculous is the 50% rate reduction if you have one business , yet more than one brings 100% liability on all. This government does not encourage entrepeneurship with such stupid policies. Of course more than one business with rent/overheads would automatically bring you into VAT registration another headache and potentially crippling.

With the current economic climate surley the governmant should take steps to directly help small businesses who make up 60% of the economy by slashing if not abolishing business rates altogether. I was interested if there was any plans to introduce a direct relief and found this from 2007.

Government ?should reduce business rates?, says FPB | Growing Business

I intend to raise this issue with my local MP and wondered if there were any thoughts or further info on the matter in this forum.

Thanks

Tumble

LOBBYING

As business rates are effectively the business form of council tax, I am interested in hearing how you would justify such an abolishment, when it would simply put pressure on council tax rates, and inevitably pass the cost onto ordinary homeowners.

I remember when I started a business in 1989.

Both Wigan and Warrington Councils had incentives for new small business and offered free Business rates-I think for the first 6 months and 12 months respectively.

The first year are the most difficult times for new businesses with an estimated 60% failing in this period.

I remember my own Council would not offer any discounts.This encouraged many to look outside St.Helens.

However,we all know that Business rates are a big source of income for councils,and they would have to claw this back from other areas if they were to offer it.

It could only work if it was subsidised by central Gov.

Ironically it was Business rates that was responsible for the demise of my shop-although it was Barclays who played the bigger part.

They withdrew my standing orders and direct debit facilities-meaning an arrangement I had was not being met.As a result of that the Council called in the Baliffs-who demanded the full years amount.

I managed to make a payment arrangement with them-but after they had added fees and costs etc it turned out to be quite a bit.

Unlike a private individual,if you are running a shop,then you cannot keep the front door closed.

The secret of survial in business in the early days,are to keep your costs down-but there are some costs which are unavoidable.

I am in agreement that Business rates are one such cost that can make a big difference.

Whether St.Helens Council or Prescot and Knowsley will look into this Tumble is another matter.

In reply to spost 3 I know of five small businesses in the past seven weeks that have closed due soley to business rates . Three of the premises belong to the council, empty shops equal no revenue of any description to these councils so somewhere along the line if the climate continues gonna cost council tax payers a hell of a lot more regardless. As Martin pointed out there is no locking the door and trying to negotiate they take what they can and your finished. And dont forget business owners pay council tax too on their private dwellings. The government are pledging support to small business through the banks . Why not give direct relief- cost less to administrate and lets face it what bank is interested in the small business sector . There is a row of shops down the road from where I live, two have closed down recently , I honestly dont know the circumstances of their closure yet but it doesnt look good does it closed shops and I know of others struggling . Council tax goes to the local council , business rates goes straight to the government . Business rates are the most destructive when it comes to non payment. I say abolish them and give direct support at least for a couple of years.