Bira, an association representing more than 6,000 independent retailers across the UK, has called on the government to use the Budget to support retailers facing rising costs.
The group warned that the average independent retailer could face a business rates bill 25% higher next year than this year, before inflation is taken into account.
Requests ahead of the Budget
- Targeted business rates relief.
- An increase in the Employment Allowance to help reduce staffing costs.
- Greater flexibility for small businesses to switch energy suppliers.
Bira is seeking these measures to address cost pressures identified for independent retailers. For independent gift shops and greetings card retailers, which it said are already working with tight margins, the Budget could be significant in determining their ability to manage costs and continue investing in their businesses.
VAT proposal
Bira also welcomed reports that the government plans to fund business rates cuts by requiring online marketplaces to collect VAT. The association wants confirmation that the money raised will go directly towards high street rates relief.
The call focuses on the Budget as a decision point for independent retailers’ costs, with Bira seeking relief on business rates and support on staffing and energy. Its warning concerns the potential rates bill before inflation; the requested relief and allowance changes are proposals, not confirmed measures.