Post Brexit Enterprise Zones Will Boost Commercial Property
Brexit could be a real boost for commercial property investment by removing EU restrictions on state aid.
Commercial property investors and businesses benefited greatly from the Enterprise Zones of the 1970’s, 80’s and 90’s, put in place prior to the signing of the Maastricht Treaty which effectively prevented EU governments offering state aid.
The first round of Enterprise Zones really encouraged investment, with the key policies of 10 year, uncapped rate free periods for incoming organisations, and 100% capital allowances for investors, allowing personal tax to be off set against the investment.
They stimulated much needed development and investment across the country, bringing jobs into disadvantaged areas, in the shape of new offices, industrial units and shops. In the West Midlands they effectively created Merry Hill (pictured) and Stafford Park.
When we have finally left the EU, the Government will be able to provide state aid once again and can revive the benefits of the original Enterprise Zones, breaking down barriers to investment and development.
This will also help in attracting inward investment. With the original Enterprise Zones, the UK can be even more competitive in securing footloose organisations, as it did in the 1980’s and 1990’s.
So roll on Brexit and the new Enterprise Zones.