Petrol filling stations in rural areas of Wales are facing closure due to huge increases in their rateable value.
Rateable value increases are due to be implemented in April, 2010, with some filling stations facing increases of as much as 450 per cent, after revaluations by the Valuation Office Agency.
The consequent hikes in rates may force many petrol filling stations to close or to cease selling fuel.
Clwyd West MP, David Jones, said:
“The Valuation Office Agency has based its valuation method on an ill-considered calculation of the rental value of these premises, which is founded on turnover of forecourt shops, rather than square footage.
“This is a particular problem in rural Wales. There are now only 206 rural petrol stations in the whole of Wales. Many of these are operating on very tight margins and a big hike in rates may cause them to close.
“After the loss of so many post offices only two years ago, we now face yet another vital service disappearing from our rural areas.
“The effect on businesses in Wales is even more severe than in England, where transitional relief will apply in the first four years.
“The Welsh Assembly Government should carefully consider the impact its plans will have on rural communities in Wales and at least offer transitional relief to retailers already suffering as a consequence of the economic downturn.”
The following table shows the number of filling stations in Wales, broken down by county, with those considered “rural” also shown (figures provided by RMI Petrol Retailers Association):
Region | Local Authority Area | Open Sites | Rural Sites | % |
WALES | ANGLESEY | 22 | 13 | 59% |
WALES | BLAENAU GWENT | 10 | 1 | 10% |
WALES | BRIDGEND | 21 | 7 | 33% |
WALES | CAERPHILLY | 22 | 7 | 32% |
WALES | CARDIFF | 36 | 3 | 8% |
WALES | CARMARTHENSHIRE | 48 | 20 | 42% |
WALES | CEREDIGION | 40 | 25 | 63% |
WALES | CONWY | 20 | 8 | 40% |
WALES | DENBIGHSHIRE | 25 | 9 | 36% |
WALES | FLINTSHIRE | 29 | 15 | 52% |
WALES | GWYNEDD | 46 | 19 | 41% |
WALES | MERTHYR TYDFIL | 6 | 1 | 17% |
WALES | MONMOUTHSHIRE | 20 | 7 | 35% |
WALES | NEATH PORT TALBOT | 19 | 5 | 26% |
WALES | NEWPORT | 17 | 2 | 12% |
WALES | PEMBROKESHIRE | 34 | 15 | 44% |
WALES | POWYS | 51 | 27 | 53% |
WALES | RHONDDA CYNON TAFF | 29 | 5 | 17% |
WALES | SWANSEA | 35 | 6 | 17% |
WALES | TORFAEN | 10 | 3 | 30% |
WALES | VALE OF GLAMORGAN | 13 | 4 | 31% |
WALES | WREXHAM C.B. | 19 | 4 | 21% |
Wales | 572 | 206 | 36% |