The Association of Convenience Stores (ACS) has written to Chancellor Rachel Reeves ahead of the Autumn Budget calling for urgent changes to business rates to help local shops invest in long-term sustainability.

The letter describes the challenges currently faced by the convenience sector due to the increased cost of employment, the rising burden of business rates, and fierce competition for shoppers.

Altogether, rises in business rates bills, National Living Wage increases and changes to employers National Insurance contributions will cost an extra £612m this year.

It comes as figures from the 2025 local shop report reveal that jobs, investment and sales in the convenience industry have been hit over the last year.

In the letter, the association makes the case for the importance of local stores to every UK community and the benefits of supporting them in the Budget.

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ACS set out a series of measures required to give local shops stability, reduce the impact of the upcoming business rates revaluation, and incentivise investment.

These include setting the new retail and hospitality rate multiplier at 20p lower than current levels, increasing the thresholds for small business rate relief in line with rises in property values, extending reliefs for stores that invest in their businesses from 12 months to three years, and excluding CCTV systems from business rate valuations.

The organisation’s CEO James Lowman said: “Our members are currently weathering a storm of increased costs in their businesses, with more to come in April when their rates bills will inevitably go up as a result of the latest revaluation.

“We are calling on the Chancellor to make clear that this government supports local shops and recognises their potential as engines of local growth.”

The news comes despite convenience stores witnessing a summer boost, according to data from Lumina Intelligence’s Convenience Tracking Programme.

The UK convenience market saw strong momentum in Q2 2025, the company reported, “with soaring summer temperatures, record levels of delivery for managed outlets and the growing importance of price-marked packs all shaping shopper behaviour”.