High Street Rental Auctions

Catherine Atkinson Excerpts

Wednesday 26th February 2025 Westminster Hall

[Jessica Toale]

The story my hon. Friend tells about the shop in her constituency is one that I am sure many of us recognise from our own. High street rental auctions can have a transformative effect in many towns around the country, and I will come on to that.

Despite the challenges we face, Bournemouth has much potential and so much to offer. Its beach was recently rated the 12th best in the world by Tripadvisor users. It has amazing examples of heritage architecture just waiting to be repurposed. If we were to design the town of the future, it would have the beautiful gardens that run like a central artery through our town, connecting the beach to the town hall.

I am pleased to say that there are lots of green shoots to celebrate. Bobby’s, in the Square, has been repurposed into a multi-use space, including Patch, a collaborative workplace for small businesses and start-ups. That has huge potential to serve as a community hub, hosting local events—including one that I am hosting next week on women’s safety in the town centre—and providing support to new entrepreneurs. The former House of Fraser building is also being converted, into student accommodation, and its large commercial space is being converted into smaller units, making them more accessible to a wide range of businesses.

The Ivy has arrived. Home-grown businesses such as Bad Hand Coffee and Naked Coffee have transformed unused spaces and are supporting an ecosystem of retail and hospitality. We have a burgeoning tech and creative industries sector, supporting the town and making use of the talent coming out of our world-leading universities and colleges. I will also namecheck Trove, Calabrese, Revival café and Brazilian Snacks. They are all local businesses making an outsize contribution to our high street. I encourage as many of my local residents as possible to rediscover and to champion all the good things that are happening in Bournemouth.

However, the scale of the challenge is still enormous. For too long, Governments have left it to the market, which has seen the managed decline of our high streets. To tackle that challenge, we require urgent action, collaboration between central and local government as well as the private sector, and creativity in how we imagine our high streets and town centres of the future—with a mix of culture, retail, hospitality and community spaces.

That is why I welcome the Government action to introduce high street rental auctions. They are taking the action that the last Government failed to take and giving local authorities the power to bring vacant commercial properties back into use. I am proud that Bournemouth, Christchurch and Poole council has been selected as an early adopter for the scheme.

[Catherine Atkinson (Derby North) (Lab)]

We are seeing some really exciting investment in Derby city centre, with a new performance venue, a new business school and the reopening of our market hall, but like so many city and town centres, we struggle with too many empty shops. Does my hon. Friend agree that high street rental auctions could be a really important tool in tackling empty shops, and how does she think that councils can be supported to use these new powers?

[Jessica Toale]

Yes, these auctions are a promising step forward and could be transformational for many towns across the country. I will come on to the local authority points in a moment.

The auctions require landlords to lease properties within a certain timeframe, preventing them from leaving spaces empty for years on end. The time restriction of 365 days in a 24-month period will help to tackle the persistent problem of vacant properties, which is a huge opportunity for communities such as mine in Bournemouth West. By enabling councils to take action, we can reintegrate those spaces into our high streets and bring them back to life.

However, it is crucial that we think about the long-term sustainability of this approach. I have been assured by landlords and agents in my constituency that there is a genuine desire to fill empty commercial properties, but business rates, antisocial behaviour and even parking charges constitute barriers, so to landlords it is important to say that the approach should be a tool of last resort. It is clear that such measures should be used only once a genuinely collaborative and good-faith approach between landlords and councils has been exhausted. The auctions should be seen in the context of other measures to which this Government have committed, ranging from supporting small businesses and tackling crime and antisocial behaviour in our town centres to the long-term reform of business rates. I am pleased that we are making progress on all these issues.

High street rental auctions are not just about filling vacancies. They are about creating vibrant, sustainable environments for businesses, residents and visitors alike, so can my hon. Friend the Minister provide assurances that high street rental auctions will not see our high streets filled with more vape shops and American candy shops? [Hon. Members: “Hear, hear.”] They can often be fronts for money laundering and other criminal activity. Additionally, we need to ensure that our local authorities have the resources and capacity to manage these changes.