Fitzrovia’s small businesses at risk from rates hike

Small businesses in Fitzrovia are set to feel the pinch after the government confirmed rate rises will go ahead in April next year. 

Despite land values being lower in Fitzrovia when compared with other parts of the West End, rental costs have increased at a greater rate in Fitzrovia. This will put a strain on smaller creative enterprises in particular.  

It is estimated that businesses will see on average a 40% increase in the rateable value of their properties (the average for London is currently 23.7%).  

The government has stressed there will be a transition period, during which business can prepare for the rent rises.  

However, as some West End shops face an average increase of 80% a year, both jobs and investment in the area are under threat.  

A great deal of investment and development has been pouring in to Fitzrovia, boosted by the Crossrail project which will include a station at Tottenham Court Road.  

The West End has enjoyed an increase in sales due to the weakening of the pound in the wake of the EU referendum, but it remains to be seen what next year’s business rates increase will have on small businesses in Fitzrovia and the wider West End area.  

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