Skip to content
Search
AI Powered
Human content, AI powered search.
Latest Stories

Senedd committee suggests business rates relief to ease cost of living pressures

Kiran Paul
By Kiran PaulJul 28, 2022
Kiran Paul
See Full Bio

A Welsh parliamentary committee has called for interventions to support businesses weather the escalating cost of living.

In a report launched today (28 July) by the Senedd’s Economy, Trade and Rural Affairs Committee, the members have pushed for short term measures similar to the relief businesses received though the Covid pandemic and then longer-term support to reduce dependency on oil and gas.

The report on the impact of the cost of living crisis on businesses and communities across Wales has also told the government to simplify Welsh-devolved benefits, warning that people may be losing out on key lifeline services because of an over-complex applications system.

“The escalating cost of living can be felt all across Wales. Although the Welsh Government is trying to support people through the crisis, our inquiry has shown that the support is simply not reaching enough people -the benefits available are complex and that can affect take up,” Paul Davies MS, Chair of the Economy, Trade and Rural Affairs Committee, said.

“We need to see a simpler system, so the schemes are easier and more accessible to increase take-up. The Committee believes the Welsh Government should use its considerable ‘soft power’ to improve terms and conditions for the lowest paid, for example by improving sick pay for social care workers and providing a fair wage for those paid from the public purse.

“I’m particularly concerned about the impact of the increased costs of heating fuel. I urge the Welsh government to act before winter to support people living in rural off-grid properties.”

The report’s recommendations for the Welsh government include

  • Use business rate relief to support the most affected businesses until inflation returns to a level close to the Bank of England’s target
  • Consider supporting businesses to invest in efficiency savings which will help them lower fuel and energy costs
  • Set out plans to provide further cost of living related support to households at the start of the 2023-24 financial year
  • Commission labour market research to better understand the reasons behind high rates of economic inactivity

Commenting, ACS chief executive James Lowman said: “The cost of living crisis has had a significant impact on people living in Wales but it is vital to remember that businesses, including convenience stores, are also experiencing a cost of trading crisis. Local shops provide thousands of jobs to communities across Wales and access to essential products and services but this is becoming increasingly difficult as a result of rising costs and issues with the supply chain.

“We are pleased that the committee has listened to the concerns that we raised during the oral evidence session at the end of May. The Welsh government needs to consider the recommendations in the report and provide urgent and adequate support to individuals, businesses and communities across Wales.”

Figures from the 2022 Welsh Local Shop Report show that Wales’ 2,975 convenience stores provided over 25,000 local jobs and generated around £2.7bn in sales in the last year.

cost of living crisissenedd

Related News

More for you

'More consumers likely to visit high street after online retailers introduce return fee'
Photo by Matt Cardy/Getty Images
Getty Images

'More consumers likely to visit high street after online retailers introduce return fee'

Most (70 per cent) of consumers are more likely to visit the high street after online retailers introduce return fees, shows a recent survey, indicating a shift in consumer buying habits.

According to the findings from consumer insights platform Vypr, 70 per cent of shoppers say they are now more likely to visit bricks and mortar stores rather than shop online due to the added costs of returning unwanted items.

Keep ReadingShow less
Karma Bites

Surya Foods acquires major stake in health snack brand Karma Bites

World foods leader Surya Foods said it has acquired a major stake in leading health snack brand Karma Bites, as part of a series of moves to up its presence in the snacking arena.

Karma Bites produces a range of naturally flavoured, popped lotus seeds, a popular snack with a rich history in Chinese and Ayurvedic medicine - recognised as among the most nutrient dense seeds on the planet.

Keep ReadingShow less
pag cheese

Paški Sir PDO (Pag cheese), a sheep milk cheese from the Croatian island of Pag

UK Food and Beverage Industry Relies on EU Post-Brexit, Survey Shows

The EU will remain a key resource for the UK food and beverage industry despite the challenges imposed by Brexit, according to new insights from UK industry supply chain professionals.

A survey carried out on behalf of the European Commission, which interviewed wholesalers, importers, producers and HORECA (Hotel, Restaurant and Catering) professionals across seven different food and beverage sectors, revealed that the majority will continue to import from the EU over the next 12 months.

Keep ReadingShow less
vuse

Vuse celebrates its position as the first global carbon neutral vape brand with a carbon neutral summer voyage down the Thames in 2021

Photo: BAT

BAT reports improved profitability in vape category

British American Tobacco (BAT) has reported significant progress in its New Categories segment—comprising vapour, heated products, and modern oral—with strong growth in revenue and profitability during the second half of 2024.

In a trading update on Wednesday, the company said it is on track to deliver its 2024 financial year guidance, with the second-half performance acceleration driven by the phasing of New Categories innovation, the benefits of investment in US commercial actions and the unwind of wholesaler inventory movements.

Keep ReadingShow less
iStock 1458055720
iStock image
iStock image

C-store body demands separate multipliers to help retailers invest in businesses

A 5p reduction in business rate multiplier will save convenience stores thousands of pounds per year which will help retailers invest in their businesses, ACS Government Relations Director Edward Woodall has said while giving evidence to a Committee of MPs in parliament today (11).

The Non-Domestic Rating (Multipliers and Private Schools) Bill intends to introduce higher business rates multipliers for the largest business properties (those over £500,000 in rateable value) and lower multipliers for retail and hospitality businesses. Following the Budget, the business rates discount for retail and hospitality businesses is reducing from 75 per cent to 40 per cent in April.

One of the considerations of the Bill is the level at which the new retail and hospitality multiplier could be set at. The small business multiplier is currently set at 49.9p, while the standard non-domestic rating multiplier is set is 54.6p.

During the evidence session, Woodall told the Bill Committee that to make a tangible difference to local shops and other businesses, the new multiplier should be set up to 20p lower than it is currently which would result in savings of thousands of pounds a year for essential retailers that could be put to use effectively.

ACS Government Relations Director Edward Woodall said, “The vast majority of convenience stores would benefit from the new retail and hospitality multiplier. For a retailer that sits just outside the threshold of small business rate relief at £15-16k rateable value, a 5p reduction in the multiplier would save them around £1,000 per year while a 20p reduction would save over £3,000 a year.

"This is a significant sum to help retailers invest in their business, either defensively on crime prevention and detection, or positively in their community.

Keep ReadingShow less