Commercial property company Colliers is calling on the government to provide financial assistance to the struggling retail sector amidst growing concerns over the impact of the Omicron variant. John Webber, head of Business Rates at Colliers, expressed that retailers were beginning to make progress in recovering from the challenges posed by the Covid-19 pandemic over the past year and a half, only to face yet another setback. Webber emphasized the urgency for the government to take immediate action by announcing key reliefs that would aid the sector. Despite the absence of an official lockdown, the government’s public health messaging has significantly influenced consumer behavior, resulting in decreased footfall in retail spaces. Last year, businesses in the retail sector were offered subsidies and relief through the furlough scheme and government grants. However, with the furlough scheme nearing its end and a capped two-thirds discount on business rates bills, the financial support available is now more limited. The £2 million cap on rates relief has had a particularly adverse impact on larger retail chains, which are significant employers in the industry. Webber also drew attention to the unfortunate timing of the government’s detrimental announcements coinciding with the implementation of legislation that prohibits rating appeals. This not only affects retail businesses, but also restaurants, bars, serviced offices, and other establishments that rely on visitor footfall across various cities in the country. Given the additional uncertainty posed by the Omicron variant, immediate financial support from the government is crucial to ensure the survival and recovery of businesses in the retail sector.
Useful links:
1. Government Official Website
2. Colliers Official Website
