What: Harrods is expecting to benefit from the UK Chancellor’s business rate adjustments in the rental market.

Why it is important: Chancellor Jeremy Hunt said that the revaluation would go ahead, altering bills in line with changes in the rental market, leading the Harrods’ Knightsbridge store to see its rateable value drop by 45% from 32.73 million pounds to 18 million pounds next April.

The reevaluation will see properties given new rateable values based on how much they are worth. Good news for luxury department stores which will see sharp reductions in the bills they face. As well, over 400,000 small shops will see their rate values fall by 8.4% with rateable values across the entire retail sector falling by 10% overall due to the revaluation.

Harrods to benefit from business rates shake-up