Policy Criticism: Is It Justified?
- London's West End is facing a potential business rates increase that could cost retailers an additional £63 million annually.
- High Streets UK has criticized the business rates bill,calling it a “disaster for jobs,investment [and] growth” because it places “too great a burden” on the UK’s flagship high...
- The West End boasts 335 locations with a rental value exceeding £500,000, making it the UK’s moast valuable retail destination.
West End retailers are under pressure as they face a potential business rates hike,possibly costing them an extra £63 million annually.This increase, estimated by Colliers, could see rateable values in the area jump by 30%. High Streets UK has already criticized the bill, calling it a “disaster.” This article delves into how the business rates will impact the UK’s most valuable retail destination, highlighting the 335 locations with rental values above £500,000, with a total rental value close to £495 million. If the multiplier increases to 55p,the annual amount owed could jump substantially. Colliers’ head of business rates has expressed his concerns. For more in-depth coverage, check out this story over at News Directory 3. Discover what’s next for the West End.
West End Retailers Brace for Potential Business Rates Hike
Updated June 16, 2025
London’s West End is facing a potential business rates increase that could cost retailers an additional £63 million annually. Colliers, a commercial real estate services company, estimates that rateable values in the West End could jump about 30% following next year’s rent re-evaluation.
High Streets UK has criticized the business rates bill,calling it a “disaster for jobs,investment [and] growth” because it places “too great a burden” on the UK’s flagship high streets.
The West End boasts 335 locations with a rental value exceeding £500,000, making it the UK’s moast valuable retail destination. The area has a total rental value of £495 million, nearly 28 times the value of central Birmingham, which has 25 sites over £500,000 and a total rental value of £17.5 million.
Colliers estimates that if the multiplier increases to 55p, the annual amount owed on these properties will jump from £212 million to £274 million a year – an increase of £182,727 per property.
According to Colliers, occupiers of multiple properties in the area will need to prepare themselves, and it is no wonder so many retailers and hospitality businesses have been raising their voices in alarm.
John webber, head of business rates at Colliers, said the new policy is “nuts.” He questioned why the government thinks it sensible to hit the bigger retail, hospitality and leisure players with even more punitive business rates taxes.
“Businesses are thus preparing for the worst and it would not be surprising if property expansion plans or hiring plans are put on hold,” Webber said.