The biggest review of business rates ‘in a generation’ could see around one million small businesses become exempt from the business rates system altogether.
The radical review, announced in advance of The Budget this week (18 March), will ensure the business rates system is “fair, efficient and effective,” according to Danny Alexander, chief secretary to the Treasury.
This is promising news for The Federation of Small Businesses, which has been calling for some time for a complete overhaul of the business rates system which they claim is cumbersome and overly complex. But in a time of reform, how can you reduce your business waste costs as well as your business rates?
All of the 1.8million business in England pay higher business rates than any other European Union country, generating over £20 billion for the Treasury in the last financial year. The current system calculates business rates according to the rental value of the property a company uses – something critics believe has crippled small firms and contributed to the decline in high street retailers who are faced with increased competition from online retailers with smaller premises.
It is hoped that a radical reform will improve the business climate and achieve more competitive business rates, and in turn see a reduction in prices for consumers. While business leaders and industry bodies await the outcomes of the review with interest, there are a number of steps businesses can take at an operational level with regards to waste disposal which will help to drive costs down further.
Some of the small to medium sized enterprises we work with are looking to collective waste disposal as a cost-effective solution to disposing of business waste. Business Improvement Districts (BIDs) are becoming an increasingly popular and successful model for small businesses to come together to reap the benefits of collective buying power. Businesses in Leeds and Sheffield have voted yes this month to the establishment of city centre BIDs, which will invest significant funds in initiatives aimed at strengthening the local economy. Are regional/city-led economics best for helping businesses reduce their waste costs?
Whether you’re a small or large business, in the clinical, catering and hospitality or public sectors, you can also consider incentivising recycling to encourage employees to reduce the amount of waste you produce as a company. Keep an eye on our Top Tips series for suggestions of steps you can take on the ground to minimise waste.
What impact will the budget have on your business? How can you reduce business waste costs in light of Osborne’s upcoming announcement? Share your thoughts with us via Twitter @707RM. and as always, contact us regarding your business and commercial waste for a free quote.
Photo credit: London Permaculture via Flickr