UK major retailers prepare to form action group over business rates

Around 50 of the UK’s major retailers are preparing to form an action group in a move to seek business rates relief from the government

Businesses are trying to cut property tax as they struggle to maintain profits in the face of falling sales and the struggles of competing with online stores.

Business rates are calculated by taking a property’s rateable value and then applying a figure set by the government every year called “the multiplier".

The action group is coordinated by fashion outlet River Island and includes brands such as Debenhams and Card Factory.

The firms involved met before Christmas at law firm BCLP, said City AM, where they discussed the coordination of a lobbying campaign. Details of the campaign are yet to be discussed but it will go public in the next few months.

The formation of the action group goes to show the rising concerns among businesses regarding their uncertain future.