Free Business Rates in Croydon. Pic: BackBoris2012

Croydon Council is offering free business rates to new and expanding businesses in the borough as part of a bid to attract new investments to the area.

The incentive, which is supported by Mayor of London Boris Johnson, is the only one of its kind in the UK and includes discounted rents across six key buildings in Croydon.

The scheme comes in conjunction with wider plans for regeneration in the borough that will see over £3.5 billion in private and public finances invested, including the £1.5 billion joint development from Westfield and property specialist Hammerson.

Councillor Vidhi Mohan, cabinet member for communities and economic development, said: “We’re really proud to be working with the GLA on this unique initiative, which is set to bring a host of new businesses to Croydon. The relief on business rates together with the offer on rents is yet another reason for firms to choose Croydon as their base, together with the excellent transport links and the fact that the area continues to attract investment.”

David Ford, regional director of business rates specialist CVS, said: “Croydon’s initiative is certainly good news for businesses in the area, particularly for those looking to expand and support the major efforts towards local regeneration in the borough.”

The news comes as the government’s business select committee prepares to publish its long-awaited report into the state of UK retail, which is expected to recommend a root and branch review of the business rates system.

The incentive will be available until March 2015.