'Take small shops out of business rates,' says Simon Danczuk

Simon Danczuk with Jay Patel at the 'Heart of the Community'conference

The Government could boost the economy by lifting small shops out of business rates altogether, Simon Danczuk has argued.

Mr Danczuk’s comments were made at this year's “Heart of the Community” conference organised by the Association of Convenience Stores.

Speaking at the event, hosted by BBC journalist John Pienaar, Mr Danczuk was asked for his opinion on George Osborne’s planned business rate reforms.

ACS represents more than 33,000 local shops across the UK. Among the guests in the audience at this year’s conference was Rochdale businessman and small shop owner Jay Patel.

Mr Danczuk, who chairs the All-party Parliamentary Group for Small Shops, said: “Small businesses like Jay’s play a hugely important role in the local community.

“But all too often, these shops struggle to compete with their larger competitors because they are stifled by exorbitant business rates.

“By freeing them from rates altogether, the Government would encourage these businesses to invest and take on more staff. This would give a huge boost to the economy.”

Mr Danczuk also urged UK banks to lend more to small and medium sized firms and called on the Government to improve business education in schools.