Mendip Hills Businesses Warn Business Rates Shock Could Put Rural Jobs at Risk

Independent tourism and hospitality businesses in the Mendip Hills are warning that sudden business rates increases could push long standing rural venues to the brink.

The increases follow a recent government revaluation by the Valuation Office Agency. Several local operators say their new bills arrived with little warning and at levels that are impossible to absorb through normal trading.

At The Cider Barn in Draycott, owner Jason Law says the rateable value of the property has risen from £4,500 to £15,000. His monthly bill has increased from around £100 to £600.

The venue, which has operated on the A371 since 2012, is known locally for regional ciders, artisan pizzas and regular trade from both residents and visitors to the Mendip Hills. Law says the lack of transparency around the calculation has left small operators unable to plan.

There does not seem to be any cap on it at all, he said. It is all a big mystery. People will only pay so much for a pint, and we are right on the edge of pricing ourselves out.

Law also questioned why larger tourist attractions received targeted VAT support after the pandemic while smaller food, drink and accommodation businesses were left facing rising costs without the same level of relief.

In Cheddar, Petruth Paddocks campsite is facing an even sharper increase. Owner Jules Sayer says his monthly business rates bill has risen from £107 to £2,882 over a ten month payment cycle. He had budgeted for a major rise after completing a detailed VOA questionnaire, but says the final figure was far beyond his expectations.

I budgeted £10,000 just to be on the safe side, he said. Instead, it is nearly 30 times what I was paying before. We have 25 to 30 people working for us, ranging from 14 to 76 years old, and those jobs are all going to go if this carries on.

Sayer is calling for proper transitional support and clearer three year forecasts so businesses can plan for future bills rather than facing sudden shocks.

The issue has now reached Westminster. Tessa Munt, Liberal Democrat MP for Wells and Mendip Hills, raised the cases in the House of Commons and asked how micro and small businesses are expected to survive such steep increases.

Business Secretary Peter Kyle defended government support, pointing to a lower business rates multiplier for eligible retail, hospitality and leisure properties, as well as legislation intended to tackle late payments.

For operators such as Law and Sayer, the question remains more immediate. Unless relief arrives quickly, rural businesses that provide local jobs and draw visitors into Somerset say they may be forced to cut staff, raise prices or close entirely.