Quantcast
Menu
Save, make, understand money

News

Tax changes could see the end of free ATMs

Kit Klarenberg
Written By:
Kit Klarenberg
Posted:
Updated:
18/08/2015

Shops could soon be forced to start charging customers to use cash machines –or remove them altogether – as a result of changes to the way they are taxed, the Association of Convenience Stores (ACS) has warned.

In 2013, the Valuation Office Agency ruled ATMs sited on the front of stores should incur a separate rates bill, calculated according to how often the machine is used and how much is withdrawn.

It also decided these charges should be backdated to 2010, meaning around 10,500 shops with such machines could face sizeable retrospective bills.

The ACS believes ATMs are a high street enabler providing shared benefits to a range of traders, allowing consumers to access their cash and spend it within their local communities. As a result, the Association is now calling for ATMs to be removed from the rating system.

“Free to use cash machines are an important service for local retailers to provide to their communities,” said ACS chief executive James Lowman.

“By levying business rates separately on through-the-wall ATMs, government will force many retailers to make difficult decisions about whether they can still provide the service free of charge or even at all.

“While the responsibility for the cost of rates on ATMs lies with the provider, many retailers will have entered into contracts which see those costs passed on to them – often running into thousands of pounds a year.”


Share: