Business rates exemption for green improvements

Rishi Sunak is to introduce a business rates exemption for green property improvements, including solar panels and heat pumps. In the latest leak from the Treasury ahead of today’s Budget, officials have told businesses to expect the chancellor to announce new rates relief for investment in plant and machinery that make shops, offices and warehouses greener. The move could save businesses tens of millions of pounds if they invest to build or refurbish in an environmentally friendly way, Colliers said. Under the present business rates system, companies are penalised for making such investments because they cause a property’s value to increase, which makes the rates bill rise. A more radical reform of business rates is expected to be delayed. The Times (£)