LANDLORDS and tenants of business properties in York are being urged to act now and prepare to fight anticipated hikes in the rates they pay for their premises.

Teams of Government surveyors have been running the rule over commercial property throughout the UK in order to work out what they are worth in rates terms, with the outcome of their findings expected to be announced in the autumn.

But that is expected to lead to a wave of challenges from the business community as it struggles to stave off the effects of the credit crunch and a controversial Westminster decision to change the rules on empty commercial premises.

Until last year, these were exempt from paying business rates until a new tenant took over, but the Government last year announced landlords would have to cough up the going rate after properties had been vacant for three months, saying it would encourage them to re-let or redevelop such sites.

Now John Reeves, director of York-based Reeves & Co Chartered Surveyors, says both landlords and tenants should join forces ahead of the autumn announcement on business rates.

“Property and the economy are in the worst recession for a decade and the timing of this could not be worse,” he said.

“Let’s not be coy about this – some commercial property is unsaleable or unlettable and this issue has a huge financial effect on tenants and landlords.

“We are speaking to businesses in York to unite them to act together on this as they will both benefit by splitting the costs of appeals against whatever the Government decided to ensure rates liabilities are kept at the lowest levels possible.

“The more powerful the numbers, the better the ultimate chances of savings. Landlords and tenants are not natural allies, but this is an issue which should unite them as the benefits are mutual.

“Anything which enhances landlord-tenant relationships is good news, but it seems strange that it has taken Government action to force these parties to work together. It’s time they combined to fight this situation for the good of everybody to save jobs in the depths of a recession.”

Mr Reeves said anybody concerned about rate increases should take expert advice now due to the complicated and time-consuming process of formulating a challenge.

“It’s not a token gesture – it can make a huge difference,” he said.

“But although the autumn seems a long way away at the moment, businesses need to start planning straight away.”

More information about challenging business rate increases is available by phoning Reeves & Co, on 01904 682804 or logging on to www.reevesandco.com