The revaluation of business rates scheduled for next year should be postponed for retailers while the recession continues, Tesco chief executive Sir Terry Leahy has said.
While Leahy agreed the decision by the Bank of England last week to cut interest rates by 1.5% was a bold one, further measures are needed to help firms.
He had earlier asked for the cut in rates to boost consumer confidence.
Said Leahy: “There are three points in which the government can help retailers: business rates, regulation and energy costs.”
Business rates ought to be reversed, he asserted, so that they reflect the “changing nature of property today”.
The Tesco chief also said that a proposed grocery sector ombudsman would “hamper” an already competitive retail sector.
A three-day review into the possible creation of a competition test launched by Tesco began today, a move analysts think could delay the introduction of the measure.
