Laura Sharman 17 January 2020

Councils losing £250m a year through business rates avoidance

Councils are losing £250m a year due to businesses avoiding paying their rates, new research has found.

A new survey by the Local Government Association (LGA) found eight in 10 councils said they do not have enough power to tackle the problem.

The LGA is calling for tougher legislation to close loopholes and tackle business rates avoidance. It also wants councils to have new legal powers to enter and inspect non-domestic properties to verify information relevant to billing.

Councils said the most common method of business rates avoidance was businesses repeatedly only occupying a property for six weeks to take advantage of the three month empty property exemption.

Cllr Richard Watts, chair of the LGA’s Resources Board, said: 'Too many businesses are exploiting loopholes and manipulating the system to avoid paying the tax they owe.

'The scale of business rates avoidance shows more needs to be done to tackle this behaviour and reduce avoidance. Every penny lost through business rates avoidance is money that could be spent on adult social care, children’s services, fixing roads and other vital community services.

SIGN UP
For your free daily news bulletin
Highways jobs

Adoption Panel Member

Durham County Council
Being reviewed
Do you have experience, either professionally or personally or both, of children being cared for away from their birth family?   Are you passionate ab Seaham
Recuriter: Durham County Council

Housing Officer

Durham County Council
Grade 7 £30,024 - £33,699
We currently have three opportunities for Housing Officers to join the team within Homeless Prevention. One vacancy is Temporary until 31st May 2027 a Seaham
Recuriter: Durham County Council

Attendance and Safeguarding Officer

Durham County Council
£28,142 - £31,022 pro rata (term time only plus two weeks)
Attendance and Safeguarding Officer Grade 6- £28,142 - £31,022 pro rata (term time only plus two weeks) Temporary- Full Time- Term Time Required from Durham
Recuriter: Durham County Council

Senior Pracitioner - Family Centre, Colchester

Essex County Council
Up to £0.0000 per annum
Senior Pracitioner - Mulberry Tree Family Centre, ColchesterPermanent, Part Time (29.6 hours per week) £48,205 to £57,988 per annum (FTE)£38,564 to £4 England, Essex, Colchester
Recuriter: Essex County Council

Social Worker, Young People with Disabilities

Essex County Council
Up to £0.0000 per annum
Social Worker, Young People with Disabilities, North EssexPermanent, Full Time£36,124 to £51,834 per annumLocation
Recuriter: Essex County Council
Linkedin Banner