SHOPS in Worcester could close due to sky-high business rates, says a parliamentary hopeful.

Conservative candidate for Worcester Robin Walker fears that shops could shut as they face increasing rates next year.

Business rates are due to rise by up to a third in April 2010, so local businesses are likely to be burdened with higher bills while they cope with the recession, said Mr Walker. He says the Worcester valuation was carried out in a boom period in April 2008 but times had changed for businesses.

He added: “Businesses that were valued on the basis of a boom year will have to pay much higher taxes after a bust. This massive upward revaluation is a kick in the teeth for local businesses and could force local shops to close.” Businesses in Friar Street are set for an increase of 62 per cent over the next five years, while those in the Shambles will rise, on average, by 33 per cent.

Local authorities use the valuation office agency's assessment of a property's rateable value to calculate business rates. Harry Edwards, owner of Simply Gifted, in Friar Street, Worcester, said that his rateable valuable had shot up from about £4,000 to more than £7,000, so he would be hit hard by the new rate next year.

He said: “Friar Street is one of the successes of Worcester and we have already seen a huge rise in our value rates.

“Shops could empty like they did in Reindeer Court. It could be the same thing happening.

“I don’t know how it will affect the others, but I have to survive – this is my living. What else am I going to do?”

Mr Walker has urged local businesses to check their revaluations on the valuation office agency (VOA) website at www.2010.voa.gov.uk and appeal if necessary.