UK’s biggest supermarkets including Co-op are calling on the Conservative party leader candidates to slash business rates which have been “killing our high streets”, ahead of 10 percent rise.
The Retail Jobs Alliance, which consists of UK’s big names like Tesco, Morrisons, Sainsbury’s these grocers alongside other high street retailers including Greggs, Kingfisher and Waterstones, have called on both Rishi Sunak and Liz Truss to pledge to cut business rates.
In an open letter, the group feared that many more shops, restaurants and pubs would struggle to keep their doors open, if no action is taken.
The Alliance also branded the so called ‘shop-tax’ as a “pre-profit tax which inhibits investment and disproportionately impacts those communities most in need of levelling up.”
Pointing out that property taxes in the UK were “four times higher than Germany and 50 percent above the G7 average”, the group’s letter adds that that the “piecemeal” reform would not be enough. The move comes as UK businesses are currently facing a 10 percent rise in rates next spring as inflation is at decades-high level and is forecasted to touch 13 percent in few months.
“Our high streets and town centres are being hit hard by business rates, and yet neither candidate to be Prime Minister has come up with a serious plan to help,” reports quoted the group’s spokesperson as saying.
“Liz Truss and Rishi Sunak need to show they understand what will do most to stimulate investment, support job creation and help levelling up. That means it’s time to cut the Shops Tax.”
