The move to extend a 40% rate cut scheme introduced during the pandemic was part of a series of measures to boost high street businesses across the country announced in the Government’s Autumn Statement today (30 October ), which also included a crackdown on shoplifting.

Britain’s Chancellor Rachel Reeves also announced increases to the national minimum wage, with employers also set to pay higher rates of National Insurance contributions as part of efforts to boost government coffers to improve public services.

But the move fell short of the wholesale review of business rates called for by a West Midlands street regeneration specialist, who said rises in National Insurance Contributions and the National Minimum Wage could also have a significant impact on businesses with retail in the region.

Sally Themans, head of local marketing at Bridgnorth-based business development firm Good2Great, says the increased costs can prevent small businesses from hiring staff.

“I think retailers feel like they’ve had a lot of hits in the last 5 years with the pandemic and the lockdowns and the increase in online shopping that everyone has gotten into the habit of doing during the pandemic.” she said.

“So for those that stayed and opened, and new businesses are still opening, there’s still a degree of recovery and buoyancy.

“But obviously they’re small businesses, a lot of them don’t employ people (already), so making the decision to hire someone is a huge decision for them, a huge additional cost. So making it more expensive is really going to impact them. It’s the extra staff that means businesses can stay open longer, thereby maximizing turnover, so I think there’s a real concern that the cost of employing people will hit them.

“Every government for the last 20 years I think has said they’re going to look at business rates which we all know is an antiquated system and we know it’s not always fair, particularly on the High Street,” she added.

“I think the people who are really affected are the hospitality companies, they seem to have a higher payout and we still want to see our cafes, restaurants and pubs on the High Street. I know that UK Hospitality has lobbied the government on this. and I would really like to see a move and a wholesale review of business rates.”

Ms Themans also called for further incentives for High Street retailers, including extra Government funding to bring vacant properties back into use to revitalize the region’s towns and town centres.

“Any legislation to help bring listed buildings back into use, giving aid to help councils or even communities buy buildings would be a very creative way to help our high street,” she added.

“We have new buildings on the market in Bridgnorth and some almost dilapidated and derelict buildings in Shifnal and Wellington and it would be great to see some help to bring those buildings back into use.”