Waterstones chief lauds government business rates shake-up
The head of Waterstones has publicly defended the government’s recent business rates reforms, arguing that the shake-up is a pragmatic step for the high street and that it has delivered tangible benefits for outlets in economically challenged areas. In an interview conducted amid ongoing debates about retail taxation and local economic revival, James Daunt painted a broad picture of a policy that, in his view, supports long-term viability for bookshops and other local businesses.
Why Daunt believes the reforms are sensible
Daunt pointed to a set of reforms intended to rebalance the tax burden on high-street retailers. He argued that the changes were sensible because they align with wider government aims to stimulate commerce in town and city centres, rather than disproportionately penalising smaller operators. While the policy has drawn criticism from some quarters—who say it shifts costs to tenants or reduces overall high-street resilience—the Waterstones chief says the reforms have created a more equitable framework for stores that previously faced volatile rental costs and opaque assessments.
Impact on stores in struggling areas
According to Daunt, the company has observed signs of improvement in areas hit hardest by economic downturns. He noted that lower rates or more predictable assessments have helped some Waterstones locations weather challenging cycles, maintain staffing levels, and sustain customer service standards. This, in turn, supports local employment and community-focused initiatives that depend on a healthy, accessible bookselling network across towns and cities.
Balancing criticism with long-term strategy
Critics of the rates shake-up have warned that reform could still shift costs to different parts of the sector or disproportionately affect small businesses with tight margins. Daunt acknowledged these concerns while emphasizing that Waterstones has been adapting its broader strategy to align with the new tax environment. He highlighted measures such as careful store adaptation, local marketing efforts, and partnerships with regional authorities to maximize footfall and cultural value in high-street districts.
What this means for customers and communities
From a consumer perspective, the reform narrative comes with a wider set of practical implications. Proponents argue that stable or improved operating conditions for bookshops can translate into better accessibility, more author events, and a stronger sense of place within communities. Daunt’s comments reinforce the idea that a healthy high street benefits customers through a mix of retail diversity, cultural programming, and local employment.
Looking ahead: the role of policy in retail resilience
The Waterstones boss speculated on the policy’s longer-term impact, suggesting that consistent, well-calibrated business rates are essential to sustaining a diverse high street. He urged policymakers to maintain a careful balance between revenue needs and the health of community-focused retailers. In this view, business rates reform should be part of a broader strategy that includes skills training for shop staff, investment in local infrastructure, and support for independent retailers facing digital competition from online marketplaces.
Industry context and Waterstones’ position
Waterstones operates in a retail landscape where many chains have retrenched, and independents have sought niche appeal with curated inventory and distinctive in-store experiences. Daunt’s defense of the government’s approach places Waterstones within a broader narrative that argues for a calibrated tax framework capable of sustaining a robust high street. While not dismissing the worries of smaller operators, he framed the policy as part of a positive trajectory for physical bookshops and similar venues that serve as cultural hubs in diverse communities.
As the debate continues, Waterstones’ stance signals a push for policy continuity backed by on-the-ground experience in stores. Whether the reform will deliver its promised benefits across the entire sector remains a live issue for retailers, policymakers, and shoppers alike.
