Could high streets be transformed? Increased transparency from the VOA and a stark reminder to check your employees’ right-to-work status
Plans to revamp derelict high streets commence from 2nd December, the VOA are set to reform business rates valuations by increasing transparency, and we highlight a warning for employers to ensure their staff have the correct right-to-work status. All in today’s blog post!
Help for the high street: New powers for councils
Next month, councils across England will be given new powers to transform high streets by tackling long-term empty shops. Starting from 2 December, High Street Rental Auctions (HSRAs) powers will allow local authorities to auction leases for persistently vacant commercial properties, a move that is hoped will bring new businesses and community groups back to once-busy centres.
Through HSRAs, councils can take action if a property remains empty for more than 365 days within a two-year period. By auctioning leases for up to five years, this policy aims to prevent disengaged landlords from sitting on empty properties, which contribute to the decline of high streets. Local authorities will need to first try to engage with the landlord to resolve the vacancy before putting a property to rental auction.
According to data quoted by the government, one in seven high street shops are currently closed. So, this initiative could provide a helpful boost, creating jobs and driving foot traffic back to town centres.
Local Growth Minister Alex Norris emphasised the importance of reviving high streets, saying: “High streets are the beating heart of our communities. But for too long, too many have been neglected, with more and more empty lots and boarded-up shopfronts.” He added that HSRAs put “local communities first, re-energising town centres and driving local opportunities and growth.”
Additional support for high street businesses
There is currently plenty of talk at government level about how to revitalise high streets.
During the Autumn Budget it was announced that the small business rates multiplier has been frozen for next year. Plans were also revealed to permanently lower business rates for retail, hospitality and leisure properties.
£250 million was also committed for 2025-26 to the British Business Bank’s small business loans programme.
The government has also announced its intention to publish a new Small Business Strategy next year. This will set out further measures to support SMEs and, according to the government announcement, supporting small businesses on the high street will be at the centre of this.
See: https://www.gov.uk/government/news/high-streets-to-be-revitalised-with-new-legal-powers
VOA to improve transparency on business rates valuations with reforms coming
The Valuation Office Agency (VOA) has announced plans to share more detailed information on business rates valuations, making the system more transparent for ratepayers across England. Starting in 2026, businesses will have access to tailored information about their properties, and by 2029, they will be able to see specific valuation details and evidence.
Carolyn Bartlett, Chief Strategy and Transformation Officer at the VOA, noted that while ratepayers generally desire more transparency, some have concerns about data confidentiality. “We’ve balanced the desire for greater transparency from some with the concerns of others about the confidentiality of their data,” Bartlett explained.
Having more detailed information available may make it easier to detect whether an error has been made on your business property valuation.
Business rates reforms coming
The VOA’s disclosure improvements are part of a larger set of business rates reforms that will roll out from 2026 to 2029.
A key part of this reform is a new duty on ratepayers to provide property information to the VOA. This new requirement will start to be tested in phases from April 2026 and will become mandatory by April 2029.
Under the new duty, ratepayers must inform the VOA within 60 days of any property changes, including new occupiers, rent adjustments, and physical changes to the property.
For some businesses, there will also be an annual requirement to submit trade information if it is used in property valuations.
Ratepayers will additionally need to confirm annually that all property changes have been reported.
The VOA have confirmed that businesses do not need to take any action yet. They will contact businesses directly about the changes and tell them when they will be affected.
See: https://www.gov.uk/government/news/sharing-more-information-on-business-rates-valuations
Employer banned for hiring six illegal workers: A reminder to check right-to-work status
A recent case involving a former company director in Hartlepool and Guisborough underlines the importance of checking employees’ right to work in the UK. Edris Ali, 39, who previously ran a pizza restaurant and a car wash, was banned as a director for ten years after hiring six illegal workers from Iran, Sudan, and Cote d’Ivoire. The workers were discovered during Immigration Enforcement visits, leading to substantial fines and legal action against Ali.
Ali employed two individuals without work authorisation at Tasty Pizza restaurant in Hartlepool and a further four at Bubbles Car Valeting in Guisborough. His actions resulted in penalties of £20,000 and £60,000, respectively, for the businesses, alongside the ten-year ban from company directorship.
Takeaway point
The High Court ruling against Ali serves as an important reminder for employers to check each employee’s right to work in the UK before they begin employment.
Under UK law, employers must carry out simple right-to-work checks before employing someone. Failure to comply with these requirements can result in severe penalties.
The Home Office provides guidance on how and when to conduct a right to work check. The guidance is periodically updated with the last update being published in September 2024.
Following the guidance provides your business with protection. If it was later found that someone employed by you did not in fact have a right to do the work in question, you would not be charged a penalty if you had correctly conducted right to work checks.
For a copy of the guidance, see: https://www.gov.uk/government/publications/right-to-work-checks-employers-guide For more on the High Court ruling, see: https://www.gov.uk/government/news/ten-year-ban-for-teesside-director-who-hired-illegal-workers-at-pizzeria-and-car-wash