Monday, 15 June 2009 00:00
In this economically challenging time it is important that our town and city centres remain vibrant and at the heart of our communities. Central Government has finally recognised this and has launched an initiative to encourage landlords to make available their empty high street premises for alternative uses.
Not only does the idea aim to keep the high street alive and interesting, but as part of the package the government is encouraging local councils to underwrite or pay the rent on premises. This will go some way to easing the concerns of landlords who are worried about unknown tenants disappearing without paying their rent. Guidance on this aspect will be published in summer 2009.
Tozers LLP's planning solicitor, Helen Headech, comments that: 'Several large towns and cities have already seized this opportunity to promote the positive facilities their areas have to offer. Rather than the usual growth of charity shops on their streets or a proliferation of boarded up shop fronts, high street retail premises are being used for art exhibitions, local history exhibitions, temporary training centres, health centres, meeting places and more. By highlighting the range of retail facilities in their areas, these town centre managers are looking forward to the renaissance which will surely follow on from the present difficulties.'
In order to encourage landlords to take part in the scheme, the government has raised the threshold for business rates on empty properties on a temporary basis (starting on April 1st 2009) from £2,200 to £15,000. This covers 70 per cent of all properties.
Local authorities have a discretion to grant rate relief of up to 100 per cent to a wide range of non-profit making bodies such as charities, local clubs or societies.
On the planning front, Central Government is looking at ways which will allow local authorities to permit these empty premises to be used for alternative uses on a temporary basis. The move will circumvent the sometimes protracted planning process currently in place. It is expected that Local Planning Authorities will be encouraged to draft Local Development Orders to allow the temporary change of use of buildings without these being linked to Local Planning Policies.