18th Mar 2020 09:24
(Alliance News) - Supermarket chains Tesco PLC, Wm Morrison Supermarkets PLC and J Sainsbury PLC on Wednesday all commented on the recently-announced UK business rates holiday, stating that they are all still waiting on government clarification.
Shares in J Sainsbury were up 6.6% at 204.70 pence in London in early morning trading, while Tesco shares were up 1.0% and Wm Morrison shares were up 6.3%.
UK Chancellor of the Exchequer Rishi Sunak announced Tuesday that the government would be "giving all retail, hospitality and leisure businesses in England a 100% business rates holiday for the next 12 months", J Sainsbury noted.
The business rates holiday is intended to help companies weather the Covid-19 pandemic, with people asked to limit social contact as much as possible.
J Sainsbury said it welcomed the support for such businesses and was "waiting further clarification on the details of this change". In its financial year ended March 2019, the supermarket's UK business rates payments totalled GBP567 million, of which around GBP500 million related to its stores.
Wm Morrison also said it was "awaiting further details" on how the policy will be implemented and "its potential impact". In its financial year ended February 2020, it paid UK business rates of GBP308 million, around GBP290 million of which related to its stores.
Tesco likewise said it was waiting for more detail on "the implementation of this policy and its impact on Tesco".
By Anna Farley; [email protected]
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