BCC "deeply worried" over Business Rate Supplement Bill

Date: 7th July 2009

The British Chambers of Commerce (BCC) has suggested that the Business Rate Supplement Bill, which received Royal Assent last week, is of real concern to small businesses.

David Frost, director general of the BCC, said that the ability for Local Authorities to raise taxes could potential be highly damaging for small businesses struggling to cope in the current economic climate.

He said: "It is deeply worrying that during a recession, the government has decided to introduce a new power for Local Authorities to raise taxes on cash-starved businesses.

"Companies are already paying business rates, corporation tax, VAT and National Insurance. On top of this, they could also be looking at a combination of Business Rate Supplements (BRS), congestion charging and a workplace parking levy.

Mr Frost said that the BCC believed any BRS proposals should be subject to a business vote and should only be used for "necessary" infrastructure projects.

He went to "urge" councils to listen to local firms and not make use of the new power given to them.