According to GVA, the UK’s largest independent commercial property advisor, the Government will accrue savings in the region of £1bn as a result of not having to pay transitional relief payments when the revaluation gets deferred.
Despite protest and lobbying across many fronts, GVA recognises that the Government will not change its decision to delay the 2015 revaluation.
GVA therefore urges it to re-employ these significant savings through not having to operate a transitional adjustment scheme from 2015 and look to help businesses that need this assistance the most.
Susan d’Arcy, associate at GVA in Leeds, said the Yorkshire commercial property market would be adversely affected by the business rates revaluation postponement.
She said: “Markets outside London, such as Yorkshire, are undoubtedly affected by the revaluation deferment. Rental values have fallen more dramatically in the North compared to the South East and London. Therefore, this impending postponement will continue to cause hardship.”
David Jones, senior director at GVA, added: “The revaluation deferment is creating continued hardship for businesses in some of the worst affected areas of the UK.
“We therefore favour easing the burden for those affected but we recognise this could be difficult to target. As we have highlighted, solutions exist however. We’re calling on Government to give some further thought to this matter.”