Budget Given ‘Perfect Launchpad’ for Commercial Market’s Future

Posted on 21 March, 2016 by Chris Grigorovsky

The budget has been deemed a success for the commercial property market and a ‘perfect launchpad’ to secure a bright future by Devon based commercial property specialists Charles Darrow.

Budget Given 'Perfect Launchpad' for Commercial Market's Future

The firm claimed that the market has been dealt a significant boost thanks to the budget, with commercial property investors given a lift.

Introducing a zero rate band for commercial stamp duty is one of the main points that Charles Darrow has said will bring optimism for the future.

Commercial stamp duty rates start at zero up to £150,000, with a duty of 2% on the next £100,000, rising to 5% over £250,000.

These reforms have been forecast by the Treasury, ensuring that more than 90% of commercial properties will see tax bills cut or stay the same.

Chancellor George Osborne also announced a business rate tax relief, which will rise from £6,000 to a maximum of £15,000, resulting in 600,000 smaller firms not paying business rates altogether.

Under his new plans, 250,000 firms will end up paying less in business rates and half of all properties will pay no or less business rates.

This means that commercial property investors will see less of a risk if properties with rateable values under £15,000 become vacant, as they would be exempt from paying business rates on the empty property.

Director of Charles Darrow, Paul Heather, said the business rates reform would have a massive impact on the sector’s transformation, adding that it would be a positive impact on the South West.

“This news should encourage residential property investors to look to commercial property investment.”

He goes on to say that Westcountry will feel the benefits, adding: “We are already seeing residential property investors shift to commercial property investment, which can offer more than double the return on investment when compared to residential properties.

“We are also experiencing an influx of property investment coming to the Westcountry in favour of lower property values in the region, which offer much better value for money than property in London and South East and this will only accelerate that process.”




Leave a Reply


Recent Posts

Britishsteel Getty Images

British Steel on the verge of collapse with over 20,000 jobs at risk

Notre Dame de Paris

Paris watches as flames engulf one of France’s most famous landmarks

Debenhams 2018

Debenhams on the brink of administration as board reject Ashley’s bid

Emmanuel_Macron

Emmanuel Macron pushes for a new Europe with European Parliament elections on the horizon

Brexit impacts property market

Brexit uncertainty impacts the property market

Oxford_Street_Selfridges_Christmas_Decorations_2017

Creative Christmas window displays

Toronto downtown skyscrapers

Brief history of skyscrapers

Savvy promotions attract early Christmas sales for retailers

Are savvy promotions attracting Christmas sales for retail stores?

Greenfield developments

Greenfield developments: The facts

facts about converting chapels churches

Things to consider when investing in church or chapel conversions

Lincoln Castle 1068

Exploring Lincoln Castle’s Georgian and Victorian Prison

the leopard inn Burslem

Facts about The Leopard Inn, Stoke-on-Trent

ancient high house Stafford

The majestic Ancient High House in Stafford

retro video game arcades

Retro video game arcades: The comeback

industrial style offices

How to achieve an industrial inspired office

When to decide if a building should be demolished

When old buildings should be demolished