A Somerset-based estate agency, Tor Estates, is sounding the alarm as escalating business rates and new legislation force tough decisions, including potential job cuts. Operating from two offices in Street and Glastonbury, Tor Estates has seen its business rates surge from under £10,000 to £15,000 in the current financial year—a staggering 50% increase.
Director Mel Brown expressed deep concern to Somerset Live: “With all these additional costs imposed by the government, it’s going to be the death of the High Street.” She warns this steep rise in business expenses will inevitably lead to unemployment and shuttered shops. “Over the past few years, I can count six shops in Street alone that have remained vacant for more than two years,” she added.
Business rates are used to fund essential council services, including police and fire departments. They are determined by a property’s ‘rateable value,’ which estimates the annual rental cost. Some businesses may qualify for business rates relief, such as charities, amateur sports clubs, or sole businesses in rural areas. Small businesses occupying a single property with a rateable value under £15,000 may also be eligible for discounts.
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Beyond business rates, Tor Estates is grappling with the impact of the upcoming Renters' Rights Act, set to take effect in May. The Act introduces protections for tenants, such as banning no-fault evictions, extending eviction notice periods, and allowing tenants to request permission to keep pets. However, Mel Brown feels the legislation has unintended negative consequences on landlords and the local rental market.
“We’ve lost 25% of our rental stock because landlords are selling up,” Mel told Somerset Live. “While the Act aims to shield good tenants from rogue landlords, it hasn’t provided protections for good landlords against problematic tenants.”
Responding to concerns, a Somerset Council spokesperson clarified the council’s role in business rates administration: “Rateable values are set nationally by the Valuation Office Agency (VOA) based on open market rental values at a set valuation date, not on individual business rents.” They encouraged businesses to contact the VOA with valuation challenges.
The council also highlighted various relief schemes designed to ease the burden on local traders. These include Small Business Rate Relief, Retail, Hospitality and Leisure relief (valid until April 1, 2026), transitional relief, rural rate relief, hardship relief, and other exemptions. Details on eligibility and application processes are available on the council’s website.
“Any business struggling with their bills or believing their rates are inaccurate should reach out to the council for support and advice,” the spokesperson added.
As rising costs and legislative changes squeeze Somerset’s local estate agencies, many fear these pressures could accelerate the decline of the High Street, affecting both businesses and the wider community.