Big Yellow in red over VAT change
Wednesday 23 May 2012
The Chancellor's Budget tax raid on the self-storage industry pushed Big Yellow Group into the red as it nursed annual losses of £35.6m.
The Chancellor, George Osborne, moved to make self-storage VAT-able, which has hit the company as about two-thirds of its customers are individuals who cannot claim the extra money back, according to the chief executive, James Gibson. They face an average increase of about 10 per cent or £2.50 a week from October, he said.
The slide into the red for the year to 31 March compares with a £6.9m profit previously, after a £51.4m write-down on its property portfolio as a result of the looming change. Big Yellow – along with rivals Safestore and the British Property Federation – is still in talks with the Treasury over the raid.
But the company also stands to benefit from tax changes, with an estimated £18m in previously irrecoverable VAT on capital expenditure potentially due. The changes would also lower the cost of new sites.
interviewThe producer and activist, Trudie Styler, whose film 'Filth' is up for five film awards, is tapping into the industry's neglected female talent
interviewHer estate has become the nation's glossiest food empire
theatreTheatre's hitmaker Daniel Evans on 'Oliver' and bringing 'The Full Monty' to the stage
food + drinkMichelin-starred Tom Sellers on being this year's hottest property
tvParents (and kids) rejoice! A new wave of fantastic family entertainment is here
booksGeese, gorillas, grandads... and growing up
food + drinkHow one grocery e-tailer is gearing up for the Yuletide rush
food + drink
travelFor broadcaster Mishal Husain, a long-haul Club Med holiday was a chance for her family to explore its sense of 'zen' and 'animation'
Hundreds arrested as Canadian police smash worldwide paedophile ring
Ja Rule forced to deny leaving wife for prison cell mate
Nelson Mandela: 11 inspirational quotes to live your life by
Ryanair calls on CAA to act over air traffic chaos caused by telephone system glitch
Crash pilot who threatened Ukip leader Nigel Farage found dead
- 1 Hundreds arrested as Canadian police smash worldwide paedophile ring
- 2 Is this the scariest advert ever? Japanese tyre commercial comes with its own disclaimer and health warning
- 3 Sherlock series 3: Benedict Cumberbatch and Martin Freeman provide teasers for the biggest comeback in British television
- 4 A forgotten episode in Russian history leaves links with the Philippines
- 5 People will try to reduce Mandela to a lilting reggae tune about ‘love’. They will fail
- < Previous
- Next >
iJobs Money & Business
£80000 - £100000 per annum + benefits + bonus: Harrington Starr: Project Manag...
£50000 - £60000 per annum + benefits + bonus: Harrington Starr: Business Analy...
£30000 - £40000 per annum + Bonus and Benefits: Harrington Starr: A global Con...
£150 - £250 per day: Cornwallis Elt : iPhone Rollout- Blackberry Enginee...