Leigh Richardson, director at the Cardiff office of independent property adviser GVA gives his views on the Chancellor’s Autumn Statement:
“The Chancellor’s proposal to create a grace period for the payment of empty property rates on newly completed buildings next year should be welcomed, but it doesn’t tackle the current issue of empty rates on existing stock.
“The proposal is long overdue, and will remove a hurdle to developers concerned about the rates obligations they will face on more speculative development. We would hope to see development opportunities grow over the next couple of years and this announcement could help make the difference moving less viable commercial developments off the drawing board.
“However this does not remove the inherent problems many landlords, investors and developers currently face paying crippling empty rates on existing stock where they have little or no realistic prospect of finding occupiers for their properties. This Autumn Statement could have been used by the Government to offer much needed help on long term vacant stock in the more depressed areas of the UK. The Government has drawn a distinct line between the assistance they are prepared to offer new build versus existing build. “