Businesses in an Aberdeenshire town have banded together to fight off crippling business rates increases.
Members of the Inverurie Business Association (IBA) have agreed to partner with Aberdeen and Grampian Chamber of Commerce to campaign for reliefs to cushion the blow on traders.
Firms have been hit by a sudden increase in rates just as the oil and gas downturn has left them struggling to stay afloat.
Some traders in Inverurie have received draft increases estimating 20-40% rises in rateable values, which would lead to thousands of pounds of extra overheads.
The rises are based on a revaluation of properties carried out when the north-east economy was being buoyed by high oil prices.
Judy Whyte, partner at Mitchells in Inverurie, said: “Inverurie Business Association has joined the Aberdeen and Grampian Chamber of Commerce campaign. What we are doing is really working with each other to be a stronger voice for businesses in the town, we are really trying to help everybody here.
“Everyone is feeling very disillusioned at the moment. As a town we have had a very difficult time with the oil downturn.”
She said Mitchells’ rates bill had shot up almost £10,000 to £45,000 a year.
She added the “difficult” current economic climate had already led to a decrease in sales at the firm.
Mrs Whyte said: “Working on small margins in food retail, as we do, means a fifth of what we are left with will now disappear as rates.
“That leaves it more difficult to meet other increasing costs such as wages, utilities and ongoing repairs and maintenance, not to mention rising costs from suppliers who in turn need to meet their cost increases.
“This leaves businesses like ours with very little to invest for the future.”
The rates increases are coming just as Inverurie’s campaign to be named a Business Improvement District (Bid) enters the business plan phase, ahead of a vote in June.
Mrs Whyte said the project had allowed businesses the opportunity to “really pull the town together”.
She added: “This rates thing just couldn’t have come at a worse time.”
