Skip Ribbon Commands
Skip to main content

News Release

London

Jones Lang LaSalle Reaction to Pre Budget Report - Empty Rate Exemption


London, 9th December 2009 - The commercial property sector was dealt a blow in today’s Pre Budget Report, as Chancellor Alistair Darling confirmed the 100% empty rate charge will be extended into 2010/2011.

The Chancellor’s only concession was to increase the threshold for exemption from the charge to include properties with a rateable value of less than £18,000, up from the present level of £15,000.

Tim Beattie Head of Rating at Jones Lang LaSalle commented: "Although widely expected, this is a very disappointing move which is likely to further delay regeneration and redevelopment schemes and it offers little support to the commercial property market.”

He continued: “Since the 100% charge was introduced in 2008, it has raised an extra £1.8b from the hard pressed property sector and it is regrettable the Chancellor has rejected the opportunity to reduce this tax burden back down to pre 2008 levels.”