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I said similar earlier in the thread, and on further consideration see the likes of Amazon probably doing something like this in the future, as the tax regime starts to squeeze them and in a bid to drop prices and push profits move their warehouses to somewhere like Lichtenstein, with their volume they can easily still have a paid for next day service and free 3-5 day service, and only pay vat at 8.5% and 12.5% Corparation tax.
The way out of the High Street mess isn't more taxation, it's less taxation.
Lower rents (even if it has to be legislated rent control) and lower business rates for smaller businesses (a sliding scale on turnover would probably be fairest) so a small photography shop employing 3 or 4 people pays a small amount considering how little the local council does for them while the large multinational like Tesco down the road pays a large amount.
The fact the average business rates is heading towards £15k pa is ridiculous, considering how little they get, even refuse removal is extra. The fact so many charity shops thrive on the High Street by being exempt from business rates just shows how much they handicap a business.
Dave I agree with just about everything you've expressed. Many high street operators in our suburban towns are taxed out of existence, if not centrally then by local governments. Rents and non-domestic rates are so intolerably high that many independent operators largely find it near impossible to generate a decent living profit. This is particularly true in seemingly desirable areas such as Richmond or Wimbledon to the extent that it is chain stores that are generally the only ones now able to afford these rents and rates so as to maintain a presence in such areas. However as we have seen over these past years, even they cannot support this level of expenditure forever. In the areas mentioned which I know, gone are the Whittards, Jessops, Curry's and Dixons along with a plethora of independents. Instead we have coffee houses, estate agents, the clothing chains which have survived and of course, those charity shops.
I gather from a retired banker friend that in France, rents and rates I believe too are controlled so that one has a variety of independent operators. Why this cannot happen here is all because the legislative powers have not the will or interest in reducing these charges. Agents thrive since rents are always driven upwards. Who has ever heard of a commercial rental agreement that exhibits a rent review clause that takes in the prevailing economic conditions? None since all of them are upwardly-rising as sadly, are the non-domestic rates. This lamentably continues to the detriment of all our local communities.
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