Kemi Badenoch, the Conservative Party leader, has unveiled a bold plan aimed at revitalising Britain's struggling high streets, which includes abolishing business rates for 250,000 retailers and boosting police numbers to combat rising shoplifting. This initiative, she says, is designed to reverse the decline of town centres—areas she claims are "suffering" under Labour's stewardship. The plan, set to be introduced if the Conservatives win the next general election, also promises to slash energy costs, reduce bureaucratic red tape, and enhance community pride across the UK’s towns and cities.
Badenoch criticised what she describes as Labour’s "job tax," accusing the party of stifling local businesses through increasing National Insurance contributions and other tax hikes. Currently, retail, hospitality, and leisure businesses receive a 40% discount on business rates up to £110,000. Her proposal goes further, calling for the complete abolition of business rates for these sectors up to the same financial cap. According to original reports, this measure would lift a significant financial burden from a quarter of a million businesses, potentially rejuvenating many local economies dependent on thriving high streets.
The backdrop to this pledge includes warnings from industry bodies such as the Beer and Pub Association, which has indicated that over 2,000 pubs risk closure in the next year, risking more than 12,000 jobs. They argue that reducing the business rate multiplier by 20p in the pound could prevent around 800 closures and preserve more than 5,400 jobs. Badenoch’s wider plan also includes hiring 10,000 additional police officers, specifically targeting the surge in shoplifting offences, which the Office of National Statistics reports have risen by 13% in the past year. The Conservatives aim to implement hotspot policing and triple stop-and-search operations to address this issue, which Badenoch describes as a Labour failure to punish offenders effectively.
Energy bill reductions form another pillar of the Conservatives’ strategy. Their "Cheap Power Plan" intends to eliminate costly green subsidies from energy bills, potentially reducing electricity costs by 20% for consumers and businesses alike. This comes alongside plans to repeal parts of Labour's unemployment Bill, including laws that make it difficult for employers to dismiss underperforming staff. Additionally, the Party pledges to ease the regulatory burden on small businesses to foster a more conducive environment for growth.
The Conservative leadership says this comprehensive approach will restore a "sense of pride and community" to the nation’s high streets, which have suffered from a combination of tax increases, rising crime, and regulatory burdens. The Daily Express’s "Save Our High Streets Crusade" has welcomed Badenoch’s proposals as aligning closely with their campaign to support local business recovery.
However, these announcements come against the backdrop of intense scrutiny as the Chancellor prepares for an upcoming Budget—the government faces a daunting challenge to find approximately £30 billion in tax revenues to plug fiscal gaps. Retail sector leaders, including the British Retail Consortium (BRC), have expressed concern that further tax hikes could force well-known brands to close shops, exacerbating the high street crisis. Similarly, the Federation of Small Businesses (FSB) has highlighted the need for high streets to adapt and evolve, acknowledging their cultural and economic importance while warning that sustainable resilience will require innovation and support.
The Conservatives’ promise to abolish business rates for shops and pubs, a policy highlighted also by Shadow Chancellor Sir Mel Stride during the party conference, is estimated to cost around £4 billion annually. This aligns with the party’s broader vision of reducing tax burdens and fostering economic recovery within local communities.
In addition to the high street proposals, Badenoch has made other significant tax reform promises, such as pledging to abolish stamp duty on primary homes, a move estimated to cost about £4.5 billion and welcomed by the property industry. She emphasises a vision of a government that “does less but does it better,” coupled with fiscal discipline to reduce deficits while investing in apprenticeships and controlling student numbers.
While the Conservatives position themselves as champions of hard-working communities and local businesses, Labour and the Treasury have been contacted for responses but have yet to comment publicly. The coming months will test these competing visions for Britain's economic future and the survival of its town centres.
📌 Reference Map:
- Paragraph 1 – [1] Express, [2] Sky News
- Paragraph 2 – [1] Express, [2] Sky News, [3] LBC
- Paragraph 3 – [1] Express, [2] Sky News
- Paragraph 4 – [1] Express, [2] Sky News
- Paragraph 5 – [1] Express
- Paragraph 6 – [1] Express, [2] Sky News, [3] LBC, [4] Irish News
- Paragraph 7 – [1] Express, [5] Evening Standard, [6] Upday
- Paragraph 8 – [1] Express
Source: Noah Wire Services