'Unfair Business Rates: Small Shops Struggle Against Big Retailers'

In Aberystwyth, many small business owners are expressing frustration over disproportionately high business rates compared to larger retailers like Marks & Spencer. Cynthia Binks, who owns a wool shop, pays £525 per square meter for her shop while M&S, situated in a larger store on the town’s outskirts, pays only £55. The local business community is calling for a re-evaluation of these rates, claiming they are unsustainable and detrimental to small businesses.

Berith Lochery, a local gift shop owner, notes that such complaints have persisted for years, leading to business struggles in the area. Business rates, which are a tax on non-domestic properties, are calculated by the Valuation Office Agency (VOA) based on rental values of properties. Although local councils collect these rates and distribute funds back to local authorities, the current structure creates a perceived unfair advantage for larger chains over independent businesses.

Kerry Ferguson, who runs a website design firm, highlights the burden of her business rates at £750 monthly, questioning how this financial strain detracts from potential investments in her business.

The mayor of Aberystwyth, Maldwyn Pryse, aligns with these concerns, asserting that the metrics used for calculating business rates are fundamentally flawed and need transparency and revision. Additionally, Becky Barratt, a design company co-owner, suggests that more realistic rates could curb the high number of empty storefronts, revitalizing the high street with local independent retailers.

In response, the Welsh government and the VOA maintain that they follow legislative frameworks in assessing property values and offer support for struggling businesses exceeding £130 million this year. However, the call for a thorough review of how business rates are structured continues to gain traction among local entrepreneurs.