A list of retail locations within the UK experiencing the highest increase in vacancy rates has been published by Colliers International.
These locations could benefit fr om lodging appeals against business rates. The appeals could be backdated to 2010, but must be lodged by 31 March 2015.
The list, ranked by highest vacancy rate increases from 2010 to 2014 is:
- Merry Hill
The head of rating at Colliers International, John Webber, said the research result is not simply a smoking gun. It offers sufficient evidence for the VOA to act on the reduction of Ratable Values of the retail units in the towns which have been most affected.
The impact of the recession has impacted every region within the country.
The decline in retail rents between 2008 and 2014 has been experienced in these regions:
- Overall, with the exclusion of London, 22%, otherwise 14%
- Rents in London have increased by 28%
- Rents in Outer London have remained stable, but have declined in real terms if inflation is considered
- Wales 38%
- West Midlands 26%
- East Midlands 19%
- North East 31%
- South West 24%
- North West 19%
- South East 17%
- Eastern 21%
- Yorkshire & Humberside 19%
During December 2014, the Government stated the deadline of 31 March 2015 for appeals on valuations for business rates. This statement was almost non-visible in the small print. The deadline applies to those businesses across all the sectors in commercial property.
According to John Webber, the last revaluation was done during 2008, which was during the peak of the rental cycle. These figures were applicable for the 2010 listing and will continue through until 2017, as the 2015 revaluation has been deferred. John Webber believes that the postponement of the revaluation will adversely affect businesses in the areas that have been hardest hit.
He said the time between valuations is too long.
Businesses have six weeks left to lodge an appeal on their business rates or they could be at risk of losing out on around five years of overpayment.
A hotline for businesses has been set up by Colliers International wh ere they can obtain more information or determine if they are entitled to a rebate.