INDEPENDENT shops and pubs say they want to hire new staff but cannot afford it with high business rates.

Allun Davies, 56, owner of antique shop Ragamuffins Emporium said: “It has impacted us because at this stage of our business plan we were expecting to be employing new staff.  

“The impact of Covid, the cost-of-living crisis and rising business rates mean we just aren’t able to take on new staff.

"If the cap had gone up we would see a lot more shops in the valleys.” 

Saul Salway, 58, owner of the Little Crown Pub Inn said: “It personally affects me employing people. If I could spend it on hiring people and jobs, we could offer a better service.” 

“It doesn’t help businesses. It is really difficult. I have never in my life known it to be as bad as it is.

"I pay £30,000 a year and I don’t get any support – I don’t even get any bins collected.” 

What are business rates? 

The tax also sometimes called ‘non-domestic rates’ (NDR), helps pay for local services and is charged to most non-domestic property.  

These types of properties include shops, offices, factories and banks.  

There are some premises exempt from business rates and others can qualify for relief from the Welsh government.  

Local authorities can grant hardship relief to some businesses in the interest of the local community.  

How are business rates calculated? 

If you struggle with mathematics in school this part may seem complicated at first, but it mainly involves one multiplication.  

It is calculated by multiplying a ‘rateable value’ of your property by the non-domestic rates ‘multiplier' (or poundage) - for example, this year the ‘multiplier is 0.562.  

The amount business owners pay depends on what the ‘relatable value’ of their property is calculated by the Valuation Office Agency.  

If you want to appeal your ‘relatable value’ you can appeal to the Valuation Tribunal for Wales. 

What support is in place for businesses? 

The Welsh Government allocated £78 million to target non-domestic rate support for business in retail, leisure and hospitality.  

To apply for relief support businesses should fill out the relevant local authority application forms which can be found here.  

The types of relief support available: 

  • Small business rates relief 

  • Charitable rates relief 

  • Relief for empty properties 

  • Transitional relief  

  • Improvement relief 

  • Heat networks relief  

  • Hardship relief 

Find out more about business rates relief here.  

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What are the future plans for business rates in Wales? 

Rebecca Evans, MS is cabinet secretary for finance constitution and cabinet office and this long job title means she is responsible for policy on non-domestic rates.  

Ms Evans announced on June 20 that a review into non-domestic rates will be done by the business consultancy agency Alma Economics. 

The review will take place over the next 12 months and its findings will be included in the Government Social Research report.  

Ms Evans said stakeholders will be invited to engage with the review and she encourages people to participate when the opportunity arises.