Garden centres businesses in England with multiple sites are being warned that they face a cash cap on business rates relief under the government’s extended discount scheme, announced in the spring Budget.
Most garden centres have been eligible for 100% rates relief under the existing retail discount scheme, extended in the Budget until 30 June. For the remainder of the year (1 July until the end of March 2022), rates relief will be discounted by 66% - but the amount of relief will be capped at £105,000 per business, not per property.
Allen Evans (pictured), partner at retail property consultants Gilbert Evans, says the cap has been causing confusion among garden centre owners who have so far been eligible for full relief across all their sites.
“The regulations are quite complicated,” he told GTN Extra. “They are geared in favour of small businesses.”
The unwritten assumption is that larger businesses will be better able to withstand the impact. Garden centres with dozens of sites, like Dobbies and British Garden Centres, will be worst hit by the cash cap.
Qualifying garden centres in Scotland and Wales will continue to get relief at 100% until 31March 2022.
You can check out the government guidance using this link:
https://www.gov.uk/government/publications/business-rates-expanded-retail-discount-2021-to-2022-local-authority-guidance
You can contact Allen Evans on 07540 268866 or by email (aevans@gilbertevans.com)