Luxury retailer Harrods is likely to benefit from the UK government’s changes to business rates.

Chancellor Jeremy Hunt announced last week that the April revaluation would take place, with bills being adjusted to reflect changes in the rental market.

The rateable value of Harrods‘ Knightsbridge store will fall by 45 percent next April, from £32.73 million to £18 million.

READ MORE: RETAIL BOSSES URGE CHANCELLOR TO FREEZE UK BUSINESS RATES

For the first time since 2015, properties will be given new “rateable values” based on how much they are worth during the re-evaluation.

Bills for luxury department stores are likely to be drastically reduced.

More than 500,000 retail properties in England and Wales have been revalued with new rateable values, which will be used to calculate business rates liabilities from April 1, 20023 to March 31, 2026.

Need Career Advice? Get employment skills advice at all levels of your career

More than 400,000 small shops, representing the vast majority of retail sector properties, will see their rateable values fall by 8.4 percent, with overall retail sector rateable values falling by 10 percent as a result of the revaluation.

Source: Retail Gazette

Follow us on YouTubeTwitterLinkedIn, and Facebook


Tags:

business