High-End Fashion Chain Gets Financial Aid Amid Criticism

  • Mike Ashley’s Flannels receives £125k rates relief despite £65m turnover
  • Council fears site would remain derelict without investment
  • Flannels sells high-end fashion brands like Gucci, Jimmy Choo and Moncler
  • Doncaster Council previously awarded no discounts in 2017/18
  • Localism Act 2011 allows councils to offer discretionary discounts on business rates

Mike Ashley’s luxury fashion chain Flannels has been granted £125,000 in business rates relief by Doncaster Council for a derelict site it purchased in 2016. Despite generating £62m in revenue and making a £5m profit last year, the council decided to support the investment to prevent the area from appearing undesirable to new investors. The Localism Act 2011 allows councils to offer discretionary discounts on business rates for properties or businesses they believe will boost footfall. In 2017/18, only 2,414 premises out of 1.9 million received discounts totaling £21m.

Factuality Level: 8
Factuality Justification: The article provides accurate information about the financial assistance given by Doncaster Council to Flannels, the state of the former pub and nightclub site, and the council’s decision-making process in granting the discount. It also includes relevant context on Mike Ashley’s stance on business rates and the Localism Act 2011. However, it could have provided more information about the specific reasons for the council’s decision to support Flannels and the potential precedent it may set for other retail applications.
Noise Level: 3
Noise Justification: The article provides relevant information about Mike Ashley’s fashion chain Flannels receiving £125,000 in business rates from Doncaster Council for a derelict site, but it could have included more context on the broader implications of this decision and the potential precedent it sets for other businesses. It also lacks analysis or exploration of the consequences of such decisions on local communities and the high street as a whole.
Financial Relevance: Yes
Financial Markets Impacted: Doncaster Council’s decision to provide financial assistance to Flannels impacts the local property market and potentially other businesses in the area.
Financial Rating Justification: The article discusses a local council providing financial assistance to a high-end fashion chain, which is related to business rates and the potential impact on the local property market and other businesses.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the article.

Reported publicly: www.retailsector.co.uk