Courts are dishing out prison sentences of up to 90 days to small business owners for non-payment of business rates at a rate of one per week.

The figures, released by business rates experts CVS, were revealed after a freedom of information request.

The figures show that 54 sentences were given out in 2016/17, up two from the previous year.

More than a quarter of a million appeals, dating back as far as 2010, are currently unresolved. Even if there is an outstanding appeal, rates bills must still be paid.

Mark Rigby, CVS chief executive, said: “It is the only tax not related to the ability to pay, so it places both a disproportionate financial and legal burden on sole traders.” 

Official Government forecasts show revenue from the controversial business rates tax is projected to rise by £4.9bn to £33.7bn by 2021/22 representing a 17.01% hike in revenue.

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