15 January 2021
Bira is backing a new five-point plan to help the independent retail sector through the pandemic.
Pivot Point Consultancy has put together the plan and sent it to Kwasi Kwarteng at the Department for Business, Energy and Industrial Strategey (BEIS) and other relevant Ministers.
It outlines the devastating impact of Covid-19 on the independent retail sector and demands action.
In summary, the report calls for:
- Targeted financial assistance: The money returned to the government by larger
retailers (already more than £2 billion) should be placed in an Independents’
Assistance Fund which can be deployed quickly and in focused ways to help
independent businesses weather the storm of the pandemic. - Immediate review and reduction of rates: Business rates have been a
long-standing point of dispute but the Covid-19 pandemic has thrown the problem
into stark relief. Many businesses, from independents to chains, are simply unable to
sustain current levels of rates and deploying some of the Independents’ Assistance
Fund to mitigate rates would provide an instant boost for struggling businesses. - Help with rent arrears: One of the most effective weapons government has to
combat financial strictures is its ability to support short- and medium-term debt. We
are not asking for anything for free. But if there were a government scheme which
could pay rent to landlords immediately while deferring collection from tenants, this
would relieve severe cashflow pressure while maintaining cash in the economy. - Future-proofing premises and grants: Instead of providing small parcels of money
on a one-size-fits-all basis, the Government should operate a scheme whereby
businesses can apply for grants to put in place measures to make their premises
Covid-safe. This would allow them to remain open and trading where possible, and
would also provide insurance against future restrictions. - Improved consultation between independent businesses and government: Too
often we feel that decisions affecting local businesses, such as on city centre
pedestrianisation, are taken without consultation and in ignorance of the rich data
which businesses can provide. There should be local forums in which representatives
of business, local government, central government and other interested parties can
discuss and review new policies, and local authorities must have a statutory duty to
participate and reflect the outcomes.
Andrew Goodacre, Bira CEO, said: "Absolutely agree with this report. It says everything Bira has been saying to the Government for the last 10 months.
"We know the Ministers are listening and now we need action."
Additional Guidance and Resources
- Abolish business rates until 2022, says Bira
- Retailer puts spotlight on grant 'anomaly' which killed her business
- Bira concerned Treasury’s funding package will not be enough to sustain retailers
- Treasury announces £4.6 billion in lockdown grants
- New national lockdown in England announced
- Five ways to promote your retail business during lockdown…for free