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F Hinds joins 100 firms demanding rates overhaul

Britain’s largest independent family jeweller, F Hinds has joined more than 100 of Britain’s biggest companies calling for business rates to be overhauled.

The signatories of the open letter, published in The Daily Telegraph on Tuesday, call the conversional tax a “critical problem”, saying that business rates “are no longer fit for purpose for the 21st Century” and must be revamped in order to “unleash investment”.

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F Hinds is the only jeweller signatory, whilst other firms inlcude Tesco, Marks & Spencer and General Motors.

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Led by the British Retail Consortium (BRC), the firms are predominantly retailers, but it has also been backed by manufacturers, bookmakers, gyms and property companies.

It is understood that business rates bring in around £25bn for the Treasury each year, but businesses believe that it is hindering investment. The letter proposes that the political parties should commit to reform in their manifestos for the 2015 general election.

Andrew Hinds, director at F Hinds told Jewellery Focus: “One of the reasons why we regularly reject potential stores is because the business rates are too high, despite the fact that we would very much like to open new shops.

“Another factor is that business premises were last revalued in April 2008, when property prices were exceptionally highly valued and the business rates currently levied still reflect that.  It is estimated that high street shops pay a disproportionate 28% of all business rates, and are estimated to be the third largest outgoing after employment costs and rents.”

The Letter

As the Daily Telegraph has consistently pointed out, the current system of business rates is no longer fit for purpose for the 21st Century. Business rates are higher than property taxes anywhere else in Europe and are the second highest in the OECD. This is a critical problem for all of British business.

A recent survey demonstrated that 93% of MPs agree that the fundamental reform of business rates would revitalise our high streets and town centres. Manufacturers, retailers, the hospitality trade, property, service industries and businesses large and small are all held back by business rates.

A modern, sustainable and transparent system would unleash investment that could bring skilled and entry level jobs and new and expanded businesses into our local communities.

Those who seek a competitive tax regime as a draw for investment and jobs should apply that logic to business rates.

It is no longer an option to say that reform is too difficult or complicated and we call on all political parties to commit to fundamental reform in their manifestos for the next General Election.

The Signatories

General Motors

Tata Steel

BBPA

British Property Federation

Federation of Small Businesses

National Hair Dressers’ Federation

Gala Coral

Ladbrokes

WHSmith

Homebase

Marks & Spencer

Sainsbury’s

Morrisons

B&Q

Screwfix

Intu

Association of Licensed Multiple Retailers

Argos

Thorntons

Timpson

KFC

Bensons

Harveys

BRC

Paperchase

Risk Capital Partners

Rymans

Betfred

John Lewis Partnership

Westminster Property Association

Heineken

Hammerson

Costa

Insite Asset Management

Boots

Mothercare

Hark Group

3663

Foyles

Booksellers

JLL

BIRA

Brighthouse

Greggs

Co-op

HTA

DFS

Gerald Eve

New River Retail Ltd

Retra

Picton Capital Limited

BACTA

Lloyds Pharmacy

Crabtree & Evelyn

Capital Regional

Fenwick

Debenhams

New Look

Hughes Electricals

Wilkinson Cameras

BCSC

Whitbread

F.HINDS

Westfield

Primesight

Freight Transport Association

Business Centres Association

New West End Company

Tesco

Forum for Private Business

British Aggregates Association

TGI Friday’s

Stanhope

Henderson Real Estate

Osborne Group

Holland & Barrett

GNC

Majestic

Land Securities

Premier Foods

Barretts Digital

Stonegate

Tragus

Rural Shop Alliance

Vauxhall

CBRE

Recruitment & Employment Confederation

Cushman & Wakefield

UK Petroleum Industry Association

The Buildings Futures Group

British Chambers of Commerce

Karen Millen

Supergroup

Bargain Booze

Wine Rack

Asda

3 Sisters Food Group

Kronospan

Frogmore

Costcutter

Ann Summers

OMC

Virgin Active

Fitness First

Waterstones

SSI UK

Association of Convenience Stores

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