Booksellers join group call for rates overhaul

Waterstones, Foyles, WH Smith and The Booksellers Association are among more than 100 signatories calling for an overhaul of business rates, in an open letter published in today's Daily Telegraph.

The companies appeared alongside over 100 others, including Asda, Tesco, Marks & Spencer, Sainsbury’s, and Boots, calling for a “modern, transparent and sustainable” rates system “fit for purpose for the 21st century.”

“Business rates are higher than property taxes anywhere else in Europe and are the second highest in the OECD,” the letter said. “This is a critical problem for all British business.”

Helen Dickinson, director-general of the British Retail Consortium, said the breadth of industries represented in the letter “shows the strength of our collective belief that the existing system is no longer fit for purpose”.

She said: “Today’s open letter proposes that the political parties should make a commitment to look at deeper reform of business rates if they form the next government after the election.”

The BA’s c.e.o Tim Godfray has also written to Eric Pickles, the secretary of state for Communities & Local Government, lobbying on the issue. He wrote: “In the bookselling sector in particular there are competitive imbalances between booksellers who pay business rates and operate out of expensive premises in high streets, and pure internet retailers, who have warehouses away from the high street, and it would be good if a fairer arrangement could be introduced in any new arrangement. “

Business rates are calculated through a valuation of Britain’s property and the annual rate of inflation. The revaluation of property is scheduled to take place every five years, but the Government postponed the valuation that was due to take place in 2013 and enforced in 2015, claiming that it would cause uncertainty for businesses.