The CBI has long been calling on the government to urgently reform the business rates system to put business rates back on a sustainable path to supporting investment, economic growth and prosperity. We have therefore welcomed the government’s review of the business rates system and their subsequent call for evidence.
With many businesses still struggling with weak demand and cash flow, paying a business rates bill that is based on 2015 property values only exacerbates this challenge. The pandemic is also likely to accelerate a number of structural changes, including the growth of online retail and home working, increasing the uncertainty of the future business rates tax base. It is therefore more crucial than ever that the government uses this review to achieve a fair and sustainable system that works for all businesses and supports long term growth and prosperity, ensuring a tax rate that is responsive to the economic situat