Shops given rough ride over poor trams cash, say bosses

Published on Tuesday 18 March 2008 09:23

BUSINESS leaders have hit out at the low levels of compensation being offered to traders affected by the tram disruption.

Retailers were expecting average rates rebates of 20 per cent, increasing to 80 per cent in the areas worst hit by disruption on the Newhaven to airport route.

However, the rebates for businesses in Shandwick Place – which is closed for five months – have been pegged at 20 per cent, sparking fears the assessor is not sticking to the spirit of the variable rates discount deal struck in 2006.

The city's business community today said it feared the assessor, the Lothian Valuation Joint Board, was going back on an agreement to increase rebates for shops particularly struggling to cope with work for the tram project. But the board today insisted any business unhappy with its assessment has the right to appeal.

Graham Birse, deputy chief executive of Edinburgh Chamber of Commerce, said: "Although we can see the benefits of the tram we were anxious about the effects on business during construction.

"At the time of our talks with the assessor, our interpretation of the agreement was everyone affected would get on average 20 per cent but hotspots such as parts of Leith Walk, Jane Street and Shandwick Place could expect more.

"If Shandwick Place, which is closed to all traffic, does not qualify as a hotspot then I simply do not know what will."

The assessor came under fire last November when it ruled shops on the west side of Leith Walk will be entitled to a 20 per cent reduction in rates, but those on the east side – some just 40 yards from the disruption – will get nothing because they were suffering only "occasional inconvenience".

Graham Russell, chairman of the Federation of Small Businesses Edinburgh branch, said: "The whole business community has been working under the assumption there would be rate rebates of between 20 and 80 per cent, depending on the severity of the problems. If this isn't the case we need an explanation as to why.

"You can't tell me that the people on Shandwick Place or on Leith Walk have only been suffering average disruption."

John Fowler, of Lothian Valuation Joint Board, said: "The assessor is only answerable to the taxpayers and if a person is unhappy with a decision then they have the right to appeal."

&#149 www.tramsforedinburgh.com