I don’t usually get too involved in Politics. I am not sure why really – it’s something to do with the fickle nature of the process I think.

A property manager generally acts for landlords – and I look after many properties for landlords. At the moment quite a few are vacant. One of the recent changes to legislation relates to the change in Rates relief to vacant properties introduced on Browns watch.

Prior to April 2008 legislation allowed industrial property owners to obtain 100% rate relief for unoccupied buildings. Commercial property owners received 100% rate relief for the first three months and 50% relief thereafter. From April 2008, industrial property owners have obtained 100% rate relief for only the first six months that a building is vacant. All other empty commercial properties have three months’ rates relief before incurring the full amount.

The Treasury has estimated that the changes will generate £900 million in 2009-10.

The legislation ‘bit’ just as the market was in freefall.

Gordon Brown said in the number 10 response to an epetiton “Re-introducing the previous relief from rates for all empty property would cost £950m and would remove the incentive to re-use commercial property.”

I am not sure what incentives landlords want to re-use commercial property? Have the Government not noticed that the market is a bit, er, flat?

So, in April, the Tories step in and agree with the British Property Federation and say that the change was damaging jobs.

Just as the Tories look like getting into power, they slip out a slightly different press release this week at Conference. It seems that it is owing to the “poor fiscal position that Britain is currently in”.

I wonder what has changed in 6 months? The market hasn’t!

So, we are back where we were; an easy tax to collect. A tax which penalises owners who (generally) are not looking at keeping the property they own empty in the hope of getting more tomorrow (that can work in a rising market). And buildings being demolished which are quite serviceable. New buildings will eventually go up – but don’t hold your breath. And did anyone notice that it is not very green to build a new building when you can alter / refurbish an existing one? Even some of the recently built ‘green buildings’ are virtually empty – not through a lack of effort or desire.

I could live with a bit more honesty on their part – Gordon Brown should have just said – “we can’t afford to rescind the legislation”. Don’t imply that the market has any part to play in the decision – or that it needs tweaking to react!

Politicians are the same all over. They promise to build a bridge even where there is no river. Nikita Khrushchev (1894 – 1971)