UK Retailers Brace for Higher Taxes in 2019/20
- Retail sector faces a £186.45 million increase in business rates next April
- Inflationary rise of £728.20 million expected for England overall
- Standard multiplier to rise to 50.5p for larger premises with rateable value above £51,000
- Business rates bills calculated by multiplying property’s rateable value and multiplier
- Average business rates bill increased by 19.4% since 2010/11
- Chancellor urged to freeze rate rises amid high street crisis
The retail sector is set to face a significant increase in business rates next year, with an estimated £186.45 million rise expected in April 2019. Real estate advisor Altus Group predicts that the overall increase will be £728.20 million across England unless changes are made in the upcoming Autumn Budget. The standard multiplier for larger premises with a rateable value above £51,000 is set to rise to 50.5p, marking the first time the tax rate has surpassed 50%. Since 2010, the average business rates bill has increased by 19.4%, from £11,016.88 in 2010/11 to £13,156.75 this year. With Brexit uncertainty affecting manufacturers and services industries, Altus Group urges the chancellor to freeze rate rises for support.
Factuality Level: 8
Factuality Justification: The article provides accurate and relevant information about the increase in business rates for retail firms and includes expert opinions from Altus Group. It also explains how business rates are calculated and provides historical context. However, it could benefit from more context on the impact of these increases on businesses and the economy.
Noise Level: 3
Noise Justification: The article provides relevant information about the increase in business rates for retail firms and includes predictions from a real estate advisor. However, it could benefit from more analysis of the long-term trends or consequences of these rate increases on businesses and the economy.
Financial Relevance: Yes
Financial Markets Impacted: Retail firms and potentially related stocks
Financial Rating Justification: The article discusses the increase in business rates for retail firms, which can impact their financial performance and may affect the stocks of these companies. It also mentions a potential freeze on rate rises as a suggestion to support businesses during economic uncertainty.
Presence Of Extreme Event: No
Nature Of Extreme Event: Other
Impact Rating Of The Extreme Event: Minor
Extreme Rating Justification: There is no extreme event mentioned in the article.
www.retailsector.co.uk