The Charity of Sir Thomas White, Warwick

Business Loans

April 2017

Business Loans

Many small businesses are to be freed from the burden of business rates.

Around 600,000 small firms will be exempt from the rates from this month, saving an average of £6,000 a year each.

A further 250,000 firms will pay lower rates thanks to changes unveiled by George Osborne in his 2016 budget.

Dr Adam Marshall, of the British Chambers of Commerce, said: ‘The Chancellor listened to our calls to avoid higher business taxes and costs, and moved to lower them in a number of areas.

‘He has finally taken real action to lessen the crushing burden of business rates and sharpened incentives for entrepreneurship and investment.’

Mike Cherry, of the Federation of Small Businesses, said: ‘The Chancellor has heeded our calls, taking many small firms out of the system altogether.

‘The combined measures on business rates – the single biggest tax cut in the Budget – will be viewed by our members as a welcome and important step on the road to fundamental reform.’

Businesses feared Mr Osborne could increase rates at any time, but instead he has permanently doubled the relief to 100 per cent for firms whose premises have a rateable value of £12,000 or less.

Those whose shops, offices or warehouses have a rateable value of £12,000 to £15,000 – around 50,000 businesses – will receive relief at a tapered rate.

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