Bristol City Council suspends rates relief for not-for-profits

Beck Prior's not-for-profit offers business mentoring and "affordable workshops"

The owner of a not-for-profit premises says high business rates are stopping independents from returning to the high street.

Bristol City Council recently voted to end discretionary rates relief, which gives heavy discounts to organisations like Prior - a shop, workshop space, gallery and community hub in Bristol.

It will now see its annual rates rise from £6,963 to £34,816 next April.

"We can't magic that sort of money from nowhere," said owner Beck Prior.

A Bristol City Council spokesperson said they encourage firms affected to reach out to their business engagement team.

"We continue to support local businesses across the city as they continue to recover from the pandemic and face the cost of living crisis," they added.

Ms Prior said she opened the shop in Cabot Circus in September 2021, on the basis registered non-profits were eligible for 100% rates relief.

"We would not have taken on the unit otherwise," she explained.

Ms Prior opened the shop in Cabot Circus

She said in February 2022, they were granted 100% for two months and then 95% for April 2022-23.

The rates relief then dropped to 20% for 2023-2024, but the government's post-Covid retail and hospitality Ggrant took their total relief to 80%.

Ms Prior said this was still a lot more than she was expecting to pay.

Beck Prior said Bristol city centre mostly hosts "massive" and "greenwashing" chains

Ms Prior has launched a petition which has gained more than 2,500 signatures, calling for better support for independent businesses in Bristol.

Without the discretionary rates relief, she will pay £780 per square metre.

She said this "completely blows independents out the water".

The shop is surrounded by big businesses including Apple and Harvey Nichols and Ms Prior said despite being "so important to the high street" they were being pushed out.

"It's so frustrating - we're a non-profit giving back so much to the local economy, and we pay the same as Apple."

Prior aims to champion "UK-made, consciously made pieces"

She said if the rates relief is not reinstalled they will likely close.

Ms Prior added the landlords at Cabot Circus had been supportive and "really, really champion independents".

She is now considering registering Prior as a charity, to get a mandatory 80% off business rates, but believes not-for-profits should have the same benefit.

Chloe Slater, a director at community organisation the People's Republic of Stokes Croft (PRSC), said they were also having their rates relief removed, adding: "We're still in the process of calculating the final bill."

'Already on the brink'

"This change is huge for a sector that, having faced so many of our costs skyrocketing recently, is already on the brink of survival," said Ms Slater.

"If it goes through as stated then it's undoubtedly an existential threat for us and many other organisations who support vulnerable and creative communities around Bristol."

The council spokesperson explained the authority had invested "some £5 million to support high streets and the city centre recover from the pandemic".

They continued: "Wider business support projects have supported more than 2,000 businesses over recent years from a variety of sectors, creating more than 150 new jobs.

"In September, we will be launching a new £1.7 million programme to support even more businesses."

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