The rates holiday for the retail, leisure and hospitality sectors in Wales will be extended for a further 12 months, the Finance Minister Rebecca Evans has announced.
The £380m package provides retail, leisure and hospitality businesses with rateable values up to £500k, and charities in Wales with a straightforward year-long rates holiday – going beyond what has been announced in England – providing a much-needed boost for small and medium sized businesses struggling to cope with the impacts of the pandemic.
This relief package, in combination with our existing Small Business Rates Relief scheme, will ensure that more than 70,000 businesses will continue to pay no rates at all in 2021-22.
The Minister has also committed to providing businesses and charities in the leisure and hospitality sectors with a rateable value of over £500k with 100% rates relief for 2021-22 too.
Finance Minister Rebecca Evans said:
“The Welsh Government has worked tirelessly to ensure businesses in Wales have access to the most generous business support package anywhere in the UK.
“Our targeted, responsible approach has allowed us to dedicate more funding for business support than we have received from the UK government. I am pleased to confirm that our 100% rates relief package for those hardest hit sectors will continue for a further 12 months, protecting jobs and businesses across Wales.”
Finance Minister Rebecca Evans has also confirmed today that the Land Transaction Tax temporary reduction period will be extended by a further 3 months so that it will end on 30 June 2021.
Commenting on the news that Welsh Government will extend 100% business rates relief for a further 12 months for tourism, hospitality and retail firms, Ben Francis, FSB Wales Policy Chair, said:
“Businesses in Wales will be delighted that Welsh Government has listened to campaigning from FSB and extended the business rates holiday for retail, hospitality and leisure firms for another year and we very much welcome this response from the Government.
“Business rates represent a significant financial obligation for many businesses and having the rates holiday in place for longer will remove a huge amount of pressure, provide an element of financial certainty and will be a big step towards recovery for thousands of businesses.
“This is one part of the economic recovery, and we look forward to working with Welsh Government as we continue to support firms through the Coronavirus pandemic and into rebuilding our economy and communities.”