Leighton Buzzard businessman claims events hire industry treated unfairly during pandemic

Anthony Joseph, owner and director of Square One Scenic on Enterprise Way, has been fighting to be part of the government’s rates relief scheme via Central Bedfordshire Council, which he believes he deserves.

However, he told the LBO that CBC has refused to accept him onto the scheme, because his business does not fulfil the ‘retail’ requirement - a claim which Anthony refutes.

Anthony argued: “This is not an expose on CBC; I want to know the reason why they have refused to give me rates relief. And I do feel that the government could have given clearer guidance to local authorities.

“Are local authorities scared of wrongly giving money out to businesses, and the government then clawing back the money?”

Anthony points out that in Parliament, on March 17, the Chancellor Rishi Sunak stated that those event hire companies which had business properties would be eligible for the rates relief.

However, after Anthony experienced difficulty being accepted onto the scheme, he contacted Andrew Selous MP for help.

Mr Selous then received a letter from the chancellor dated September 28, which explained that the chancellor’s statement in the Commons had not been clear.

Mr Sunak informed Mr Selous: “To clarify, only event hire companies which occupy certain types of business property, namely those used for retail, hospitality and leisure purposes, were eligible for the relief and grant.”

Anthony explained that he has since been arguing that his property does qualify for the rates relief under the ‘retail’ element, especially because his business works in a similar way to a tool hire company. (The latter is included on the ‘Expanded retail discount 2020 to 2021: coronavirus response – local authority guidance’.)

Anthony said: “I see no reason why event hire companies shouldn’t be included; the business operates in the same way - members of the public can either visit in person to hire an item or order it online.”

Anthony claims that he has told CBC that 350 out of 400 clients require his business to hire items and that out of his 27,000 sq ft property, 15-20,000 sq ft is where items (to be hired) are stored. Despite this, he says it has still refused to allow him the grant under the retail category.

The businessman claims that he has been upset to learn that 14 other local authorities, including Shropshire Council, East Lothian Council and Croydon Council, have granted rates relief to events hire companies.

Anthony claimed: “The reality is most business owners are hardworking taxpayers that have over the years paid into the system that employs civil servants and puts into the system. This business contribution is an essential part of our economy and destroying it is a bit like killing the goose laying the golden egg. Nurture and look after the goose and it will keep laying eggs.

“I moved my operation to Leighton Buzzard from London in 2006/7 and I’ve put about put £400,000 into CBC over the years [via business rates].”

Commenting on the “lack of” government guidance and local interpretation, he added: “It’s pure postcode lottery and business discrimination. It needed to be thought about in a little more detail - I don’t begrudge anyone but not all businesses need it.”

Square One Scenic has had to borrow £100,000 to help the business through the year, but Anthony says that this is “not a good way” for businesses to survive the pandemic, as it will always “catch up with you”.

He was due to appear in court on November 12 after receiving a summons for non-payment of £21,000 business rates, but he says that this has been set aside by CBC because he cannot pay the money owed and because other government grants have been announced. However, Anthony is still hoping to work with CBC and receive rates relief. He concluded: “It is essential to our survival.”

A Central Beds Council spokesperson said: “We are unable to comment on individual applications to the business support grant schemes. However we are satisfied that all applications which met the eligibility criteria for them, set by Central Government, were given funding.”

Andrew Selous MP said: “I always fight hard for all my local businesses. The events hire industry has been really badly hit during the pandemic and has not been eligible for some of the assistance given to other sectors.

“I will continue to take up Anthony’s concerns with national and local government so that successful businesses like his can survive until next year when, hopefully, the pandemic will be behind us.”

In response to our enquiry the Ministry of Housing, Communities and Local Government sent the LBO a website link explaining eligibility criteria and didn’t comment further.