Calls to 'slash' business rates to boost economy on 'small business Saturday'


Business rates need to be "slashed by more than 50%" next year according to the Welsh Conservatives to help the economy "bounce back" after the pandemic.

It comes as Saturday marks 'Small Business Saturday' - an event held in the past eight years where people are encouraged to shop locally and support their nearby high streets.

Last year, an estimated £1.1 billion was spent with small businesses across the UK on the day, according to estimates.

"For me as a business owner is really important," said Charlotte Peacock who runs a handicraft company in Cardiff.

"It highlights me and all the other small businesses that I work with and that are in the local community and where you can shop and support your local high street."

Sian Fox, a deli owner in Pernarth said: "We employ 18 part-time staff, you know, if it wasn't for us and it wasn't for the people shopping local, those people would be without jobs...you know it really is important."

Welsh Conservative Shadow Minister for the Economy, Paul Davies MS, said a reduction in business rates will help companies "flourish and grow."

He said: “We can help by shopping local, but Labour ministers in Cardiff Bay can also play their part by matching the UK Government’s pledge to slash business rates by 50% for next year – or even more."

“It is important now more than ever to shop local and help our small businesses bounce back and I hope the Labour government will step up to the plate as well and provide them with much-needed economic support so they can flourish and grow.”

Ms Peacock said paying less business rates is a "good idea in theory."

And Ms Fox said: "We've had a year and this year now, nearly two years now without business rates and it's made such a difference, it's been incredible."

Michelle Ovens CBE, director of Small Business Saturday UK said: "Business rates are often the biggest or the top two costs for small businesses along with rent so of course we'd love there to be no business rates, you know you've got to be practical, it plays a big part in supporting the local economy business rates and I don't think anyone would expect them to go completely, but certainly they need to be looked at."

The Welsh Government says it has "a strong track record for backing small businesses."

It said: “As part of the process to set the Welsh Budget, we are considering what more we can do to secure the long term sustainability of our towns for future generations. Ministers are working to look at everything from access to public transport and effective promotion of town centres, to the simplification of funding streams.”