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Wholesalers and retailers slam property tax changes

 


1st April 2008

Wholesalers and retailers slam property tax changes

Major UK retailers, warehouse and office owners have condemned the introduction of new property tax rules, an industry organisation has revealed.

The British Retail Consortium (BRC) has slammed the changes to tax on empty properties, believing it will damage communities and businesses.

Until now, empty shops and offices paid no tax for the first three months of their vacancy, and only 50 per cent after this.

Rule changes that came into force on April 1st mean that full tax rates will be applied to vacant properties after the three months, giving the government a £3 billion windfall over the next three years.

Stephen Robertson, BRC director general, said: "In the current economic climate [the] government should be alleviating the tax burden on businesses, not making them less competitive."

The BRC, along with the British Property Federation, the British Centre Association and CoreNet Global, has sent a letter to local government minister John Healey, outlining the concerns of the retail, wholesale and office sectors.

When drafting the changes, the government believed it would boost regeneration by encouraging owners to fill properties.

        (c) 2008 Adfero Ltd.