Funding for rates relief is a huge win for small businesses
Last week, we were thrilled to hear that following calls from FSB Wales, the Welsh Government has committed to new funding for business rates relief.
In the UK Government Budget at the end of October the Chancellor announced business rates relief for the UK which would result in £26m in Barnett consequential funding flowing to Welsh Government.
FSB Wales wrote to the Cabinet Secretary for Finance shortly after the Budget and urged him to use this sum of money to provide further business rates relief in Wales.
Our work on the Future of Welsh Towns highlights why this is so important. In a recent survey, businesses told us that business rates were one of the top issues detracting from town centre performance.
Business rates are a significant part of the wider conversation about how we ensure that the future of our towns is sustainable and dynamic, and that business owners have the confidence to plan for the future and to take decisions on investments and growth with a clear outlook.
Last week, Cabinet Secretary for Finance Mark Drakeford gave evidence to the Finance Committee of the National Assembly for Wales, during which he confirmed that the £26m sum will be used for additional business rates relief in 2019.
The Cabinet Secretary has not yet stated how this funding will be applied, given that there is a different scheme of rates relief in Wales than there is in England, and confirmed that he will come forward soon with proposals for how this funding will be used.
This is a huge win for small businesses across Wales, and will provide some relief and certainty to those businesses that will benefit from the scheme.
At FSB, we will work with the Welsh Government when they bring forward suggestions for the application of this fund.
With Small Business Saturday having taken place just a few days ago, the timing for this news is even more significant as we have been celebrating the businesses that make such a huge contribution to our economy and our local communities across Wales.
As part of recognising this contribution and to mark Small Business Saturday, we urged as many people as possible to take the £10 pledge – to spend at least £10 with a small business on Small Business Saturday.
It was fantastic to see so many individuals committing to spending their money with small businesses last weekend.
Not only do small businesses supply vital goods and services to people and businesses across Wales and the UK, they also play a huge part in keeping people and communities connected, often acting as social hubs for huge numbers of people.
Taking the £10 Pledge, and spending £10 or more with a small business, is a practical way in which most people can contribute to maintaining vibrant communities of small businesses.
Taking the pledge both highlights and publicises the important role small businesses play, and also supports those businesses through giving them custom.
There are many more opportunities to support small businesses with Christmas now round the corner, so if you didn’t get a chance to take the £10 Pledge last weekend, then why not consider doing so in your local town over the next few weeks and supporting the businesses that play such a crucial role in our economy and in our society?