Newcastle Liberals Propose Vote on Controversial Special Business Rate

In a move set to address growing concerns among local business owners, the Newcastle Liberals have proposed a vote on the city’s Special Business Rate (SBR). Newcastle Liberal Lord Mayoral Candidate and Ward Four Councillor, Callum Pull, announced that if the Liberals are elected on September 14, businesses in the SBR precincts will have the opportunity to decide the future of the controversial scheme.

The SBR, which has been in place for several years, is an additional charge levied on businesses in designated areas, on top of their standard commercial rates. This tax has been a point of contention, with some business owners questioning its necessity, particularly during the current economic climate.

Speaking on the issue, Cr Pull highlighted that despite the SBR being in place for many years, no formal vote has been put to the affected businesses. “Since the SBR was introduced, the Council has never put a formal vote to businesses in those precincts and allowed them to decide whether or not it should stay,” Cr Pull said. “This means every business who pays this additional tax will be able to deliver their verdict on it, and the Council will honour their decision.”

The Newcastle Liberals have long held the view that the SBR is no longer beneficial for local businesses, with Pull emphasising that its removal could ease the financial pressure on struggling businesses. “It has been the view of the Newcastle Liberals for some time that the scheme has become a strong negative, and that it is time to wind up the scheme,” Pull added.

The cost of living, rising electricity prices, insurance premiums, and interest rates were all highlighted by Cr Pull as contributing factors to the current struggles faced by Newcastle’s business community. He stressed that removing the additional burden of the SBR could provide much-needed relief during these challenging times.

“Businesses are feeling the pain, and the additional taxes forced on them by Council over the past few years are only making it harder to do business in Newcastle,” he said.

The SBR has been used to fund various initiatives in the Newcastle CBD, including improvements to public spaces, marketing campaigns, and events aimed at attracting more visitors to the area. However, critics argue that the benefits of these initiatives are not felt equally by all businesses paying the tax, leading to calls for a re-evaluation of the scheme’s effectiveness.

The Newcastle Liberals’ proposal to allow businesses to vote on the future of the SBR represents a significant shift in how the Council manages its relationship with the business community. Should businesses vote to remove the SBR, the Council would then approach the State Government to formally end the scheme.

The issue is likely to be a key talking point in the lead-up to the September 14 election, with businesses across Newcastle eager to have their voices heard on a matter that directly impacts their bottom line.

Read more on the current Special Business Rate (SBR) here: https://newcastle.nsw.gov.au/business/supporting-local-business-people/business-improvement-associations/special-business-rates-program