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Last Updated: Monday, 22 August 2005, 17:05 GMT 18:05 UK
Tornado-hit firms ask PM for help
Street in south Birmingham - Picture: Sarah Hyde
Kings Heath was devastated by the ferocious winds
Birmingham business leaders are urging the government to defer tax payments for those traders affected by last month's tornado.

The freak storm of 28 July damaged buildings and cars, uprooted trees, and took roofs off some homes, causing millions of pounds of damage.

The city's business leaders have written to Prime Minister Tony Blair asking him to defer VAT payments.

MG Rover suppliers were helped in a similar way when Longbridge closed.

'Cash-flow issues'

Sue Battle, chief executive of Birmingham Chamber of Commerce and Industry, said the government could make a real difference to local firms by deferring VAT, PAYE and National Insurance payments for affected traders.

"We are aware of a number of cases where businesses with insurance are suffering because of their inability to meet customer orders due to a lack of production capability caused by the tornado damage," she said.

"The city council is playing its part and the payment of rates has been deferred for some businesses for which cash-flow issues are pressing."

Ms Battle said the deferral of such payments had been a great help to MG Rover suppliers.

"I am certain that a similar gesture for those businesses disrupted by the tornado would be of equal value," she added.

Figures from the Association of British Insurers estimate the damage caused to buildings by the 130mph twister was �25m.




SEE ALSO:
Tornado damage estimated at �25m
10 Aug 05 |  West Midlands
Birmingham Tornado: Your accounts
02 Aug 05 |  Have Your Say
Tornado residents slate council
31 Jul 05 |  West Midlands
Tornado is 'worst for 25 years'
29 Jul 05 |  West Midlands
Tornado injures 19 in Birmingham
28 Jul 05 |  West Midlands


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