Factor energy use into business rates, suggests BRC

Post by Kevin Jackson on 18th February 2014 in General industry

Factor energy use into business rates, suggests BRC

A body which speaks out on behalf of the UK's largest retailers has suggested that a company's energy usage should be used to partly calculate its business rates.

The suggestion is one element of a raft of indicators which the British Retail Consortium believes should be used to reform the current system of levies on businesses.

Helen Dickinson, the BRC's director-general, said "other measures, such as energy usage", needed to be factored in to achieve a successful transition to a more straightforward system in a "once in a generation chance to fundamentally change the business rates system.

"The time is right to think creatively and in the best long-term economic interests of the UK. These potential options would be good for the public, the economy and businesses small and large, while still providing significant tax revenues for the Government."

Sainsbury's chief financial officer John Rogers, who led the BRC's consultations, said: "The current system is outdated and cumbersome and does nothing to encourage retailers to invest.

"These options represent tangible progress in the debate on what reform could look like if we think about retail in the future, rather than the past."

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