Swanage artist Lucy Tidbury is calling for greater support for small businesses after being hit by an unexpected four-figure bill for business rates on a small storage shed.
Lucy, who runs the much loved Lucy’s Farm art shop in Commercial Road in the Heart of Swanage, was using the dilapidated four by four metre space to store cardboard and other supplies when she received a rates demand for £1,200 from Dorset Council.
Lucy’s Farm art shop is a major attraction in the Heart of Swanage
No power or water supply
Lucy’s Farm gets business rate relief because it is below the rateable value, but because the storage shed is not physically attached to the shop it is being classified as a second shop and therefore liable for payment.
But despite being no larger than a small shed, with no power or water supply and sealed by rotting wooden doors, Dorset Council has demanded full payment of £1,200 – with a threat of enforcement action if it isn’t paid.
The unexpected bill has left Lucy with no option but to pay up and give notice on the storage space, which is likely to be left empty.
Although she recognises that taxes need to be paid, Lucy has now called for councils to be less bureaucratic and more supportive towards small firms – and for shoppers to treasure independent companies.
Lucy Tidbury has had to give up her storage shed after receiving a rates bill for £1,200
“Times when it feels very unfair”
Lucy Tidbury said:
“Being hit by this unexpected cost has impacted me a lot and frustrated me because it feels like there is no incentive as a small business to succeed. As soon as you start to grow, either with premises or by taking on extra staff, you just get hit with more tax bills.
“I understand that we all have to pay tax and I will certainly pay my fair share as a business owner, but there are times when it feels very unfair and I think that this garage being classed as a rateable second premise is just that.
“Sometimes the council needs to look at cases individually rather than just ticking boxes – because my shed falls into their second business category they haven’t really looked further to see if that makes any sense.
“It’s not commercial, I don’t sell from it, it doesn’t bring in any income for me, or make my business more profitable, it is purely to store cardboard in.”
Lucy’s Farm animal selfie artworks have proved hugely popular
“Another empty building in Swanage”
Lucy added:
“I had hardly any warning from the council – they said they sent an earlier letter, but I know that I didn’t receive one, and there were no options to manage the cost of it. I was just told that if I didn’t pay within seven days the matter would go to the legal team.
“I would expect more understanding from Dorset Council when times are really hard. If there’s a tax on it, there’s a tax on it, but that means I will have to give that garage up, which will just mean another empty building in Swanage.
“Then the landlady isn’t getting any income, the council isn’t getting any income and the building falls into more disrepair, so no-one wins – but I can’t afford almost £200 a month in rates to have a concrete box with no power or water.
“I get business rate relief for my shop, but that doesn’t extend to a second premises. There are shops in Swanage four times the size of mine that are still below the rateable value and don’t pay rates – but my tiny shed is rateable because it is not attached to this building.”
A Dorset Council spokesperson said:
“Unfortunately, we’re unable to comment on specific cases. Our advice to all business customers seeking to take on additional premises is to check the effect on their business rates.
“The majority of business rates relief is set by central government and Dorset Council has no discretion when applying reductions in individual cases. We actively support Dorset’s business community in a range of ways and are happy to help and advise when needed.”
Lucy is hoping to bring Swanage’s small shops together to speak as one
Able to speak with one voice
Now Lucy is hoping to work with other small businesses in Swanage to build up a picture of how they are all struggling with rising costs such as recent changes to the minimum wage, National Insurance contributions, and the cost of lighting and heating.
Many small firms have had to put their prices up to reflect their extra costs, but as their turnover is higher they are now hitting the VAT threshold, which hasn’t been significantly raised for many years – meaning that profits are no better than before and sometimes worse.
Lucy hopes that if a collective of small businesses was able to speak with one voice it might carry more weight and make the public more aware of how difficult times are on the high street.
Lower cost items are increasingly important as shoppers tighten their purse strings
“Shops like mine are a draw”
Lucy Tidbury said:
“I don’t want to sound like my only reason for speaking out is to have a big rant about the council – for me it’s more about highlighting the lack of support for small businesses in town and how important it is for people to support independents in the run up to Christmas.
“In Swanage we are really lucky and still have quite a thriving town, but you look at other high streets where there are a lot of empty shops and that comes down to the costs that small businesses face.
“If we want Swanage to stay as it is, it is very important to support small businesses. I totally understand that we all have to pay taxes which go towards the local community, to our libraries, to keeping our streets clean and much more.
“But if we want Swanage to have a variety of independent shops, giving tourists a reason to visit here, there needs to be more support available to us.
“The council should recognise that shops like mine are a draw and do attract people here, putting more money into the local economy, and they should be looking after us rather than sending us extra tax demands.”
Bring Joy, Shop Small – that’s the message to those who have had enough of Black Friday
Supporting Colour Friday
Lucy’s Farm will be supporting Dorset Christmas and craft fairs in the run-up to Christmas, as well as staying open in Swanage right up until Christmas Eve.
The shop will also be taking part in Colour Friday on Friday 29th November 2024, a small business retail revolution to fight off the effects of Black Friday shopping on independent firms.
Holly Tucker, founder of Not On The High Street, set up Colour Friday in 2021 as a national campaign that encourages people to rethink how they approach holiday shopping by focusing on creativity, individuality, and thoughtful consumption.
The founder of Not On The High Street, Holly Tucker, started Colour Friday to support small businesses
Throwaway items end up in landfill
Holly Tucker said:
“We know Christmas is make or break for many small businesses, and we also know that Black Friday can be a bit of a bunfight where people buy throwaway items that often end up in landfill.
“It is shocking that last year, as a nation, we spent £13.3 billion on Black Friday despite the fact that almost half of UK shoppers said they rarely or never used their Black Friday purchases, and almost a third said they regretted buying them.
“Colour Friday is a way to sing from the rooftops about small shops and encourage everyone to buy handmade finds from them instead – imagine the difference we could make if we redistributed the £13.3bn we spent on Black Friday to small businesses instead!
“We’d like people to shop for items that hold personal value, are sustainably made, or support local businesses, to celebrate creativity and break away from the commercialisation of Christmas.”
Further information
- Visit Lucy’s Farm on its website
- Find out more about Colour Friday at Holly and Co
