Ferry company threatens to cut UK investment
Ferry Online Travel News 13/08/2009
P&O Ferries, which employs over 4,000 in the UK, issued the warning over backdated business rates.
In a letter sent by P&O, the Valuation Office Agency (VOA) was criticized and the government was urged to resolve “this highly unsatisfactory situation” regarding backdated business rates.
The VOA backdated rates to April 2005, infuriating port companies, as they were hit with bills that exceeded £200 million, putting some of the companies at risk financially and putting thousands of jobs at risk.
In the government’s response, it admitted that the VOA had miscalculated the assessments in 600 of the 1,600 cases, although port companies insist that the number is higher than that. Even after admitting the error, the government has not taken steps to help resolve the problem.
The letter from P&O, sent by Graham Mansbridge, the company’s head of risk and commercial services, indicated that the VOA issued P&O’s North Sea operations in Hull with a backdated bill in the amount of £5 million, as well as landing the company with an ongoing annual rate bill exceeding £2.5 million. The letter also indicated that it had received a backdated bill of its Liverpool operation for approximately £600,000.
He wrote in the letter: “We find it incredible that this Government is willing to sacrifice jobs and companies purely to cover up for the incompetence of the VOA.”
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