Businesses will shut causing a ‘crisis on York’s high street’ without urgent action, the Prime Minister was told today.
York Central MP Rachael Maskell says that shops, restaurants and pubs could be forced to close due to a hike in the business rates.
Traders are facing big tax rises due to the end of rate relief brought in during Covid and reevaluations.
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Labour’s Ms Maskell told Sir Keir Starmer at Prime Minister’s Questions today: “Having met with many independent business owners, they fear the cumulative impact of the rateable value revision and relief reductions.
“In York, hospitality sees an average business rate rise of 41%, a music venue 44.4% and many independent shops increases around 27%.
“It will mean doors closing and trade ceasing. They just can’t do it.
“So could the Prime Minister urgently review the business rate proposals, and will he ensure a minister or official attends my business rate summit at the end of January, as I want to avert a crisis on York’s High Street.”
The PM thanked her for raising the issue and said the government had put in interim relief after the Covid reduction.
He added: “We are continuing to work with and talk to the sector on that support and what further support and action we can take.”
After PMQs, Ms Maskell said: “We are really lucky in York to have so many wonderful independent businesses, shops, restaurants and pubs. These very businesses are central to making York the wonderful place it is to live, work and visit.
“That is why it is so concerning to hear from business owners that these proposed changes to business rates will just not be possible for them to cover and how, ultimately, we could see doors closing and trade ceasing.
“Small businesses significantly benefit the community in so many ways, keeping money circulating locally and supporting local job creation. This is why we must make sure any changes are done in partnership with the sector.
“Having spoken with many businesses about these proposals, there are lots of ideas of how changes can be done in a fair and proportionate way.
“In the response to my question today, I was pleased to hear from the Prime Minister that the Government are talking with the sector. It is now crucial that Government act quickly to find a resolution going forward.”
