The future of Sheffield city centre "looks grim" warns councillor

A councillor has warned the "future is looking grim" if Sheffield city centre doesn't get a boost from companies and workers returning to offices.
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Sheffield Council says it is trying to support shops, bars and cafes, which were hit badly by lockdown, and breathe life back into the city centre.

But many companies have still not fully returned to the office due to social distancing restrictions, despite a government campaign urging workers to return to their workplace.

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Coun Denise Fox says she is worried about the impact this will have on the city centre, and the businesses based there that are desperately trying to stay afloat in the wake of Covid-19.

Coun Denise Fox says she is concerned that the future of Sheffield city centre is 'looking grim'.Coun Denise Fox says she is concerned that the future of Sheffield city centre is 'looking grim'.
Coun Denise Fox says she is concerned that the future of Sheffield city centre is 'looking grim'.

She told a scrutiny meeting: "The future is looking grim. We have a budget for money we don't have coming in.

"What is going to happen when businesses don't return to their premises and don't pay rates? People say to me they are not returning to the office any time soon and this will have an impact on business rates."

In July, the council said lockdown has damaged the economy so badly, it expects an increase in people claiming council tax benefits plus a fall in business rates.

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Finance chiefs expected to get £331m from council tax and business rates over the next year.

Coun Denise FoxCoun Denise Fox
Coun Denise Fox

It's now forecasting a "worst case scenario" deficit of £22.7m - made up of £18.2m council tax and £4.5m business rates.

Finance officer Ryan Keyworth said: "It's something we are keeping a very close eye on. The government is also acutely aware of this and we have been involved in discussions with them.

"They have been trying to work out ways of helping councils to deal with the impact.

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We need to help recovery and ensure businesses are able to continue to function and thrive and to provide business rates and support the wider economy.

Fargate in Sheffield city centreFargate in Sheffield city centre
Fargate in Sheffield city centre

"We saw a large drop in parking income during lockdown but that has started to lift. The challenge is getting these savings delivered in time for April. We are looking at the longer term recovery of both the council and the city."

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