Arcadia and Debenhams: Business Support and Job Retention

Clive Betts Excerpts

Wednesday 2nd December 2020 Commons Chamber

[Paul Scully]

I know that my hon. Friend works tirelessly for his constituency and local economy. It is so important that we get together to look at the high street, because many of these conversations were about what the high street will look like in 10 or 15 years’ time, but now they are about what the high street will look like next year and maybe only the year after. We have to get a speedy but holistic response.

[Mr Clive Betts (Sheffield South East) (Lab) [V]]

The business rate relief for retailers this year has been welcome, but it was obviously not sufficient for Debenhams and Arcadia and all their employees, who will tragically lose their jobs just before Christmas. There is a fundamental unfairness in the fact that Amazon pays only 0.7% of its turnover in business rates and high street retailers pay 2% or more. Last year, the Housing, Communities and Local Government Committee suggested that the Government look at bringing in a digital sales tax and use the money to provide long-term business rate relief for retailers on the high street. Given that the Government promised to look at business rate reform in 2015, will they now get on with it and give that certainty of reduced business rates to the high street as a matter of urgency?

[Paul Scully]

That is an important question, and it is exactly why we are doing fundamental business rates reform. The first stage of the consultation has ended, and we will respond in the new year, but we need to have a comprehensive approach to tackle this both online and offline.