Chancellor urged to suspend rates on empty business premises (From The Northern Echo)

Chancellor urged to suspend rates on empty business premises

1:44pm Friday 21st November 2008 in Search By Mike Bridgen

CHANCELLOR Alistair Darling has been urged to suspend rates on empty commercial premises to help the rural economy.

The Country Land and Business Association (CLA) says recent changes now mean after three months a landlord has to pay the full business rates even when the property is empty.

Henry Aubrey-Fletcher, CLA President, said the changes were introduced without any assessment of the potential impact on the rural economy. He said: "With the economy in the state it is, now is not the time to be experimenting with rural landowners' livelihoods in this way. The changes must be suspended until the economy picks up."

Angus Collingwood-Cameron, CLA North East Director, said the timing of the change could not have been worse.

Many landowners had responded to Government policy and invested in providing work space to aid rural regeneration.

He said: "They are now struggling to gain a return on that investment as demand for commercial premises has declined due to the economic down turn.

"The last thing that they need is to be given further punishment through having to pay business rates on the unlet property."

He warned that landowners would be more wary of undertaking future investment if Government actions add to the risk.

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