UK's Reeves raises rates for high value properties in commercial property tax reform

LONDON, Nov 26 (Reuters) -

British finance minister Rachel Reeves said on Wednesday changes to commercial property taxes, or business rates, will see increased rates for high value properties.

"I will introduce permanently lower tax rates for over 750,000 retail, hospitality and leisure properties - the lowest tax rates since 1991 - paid for through higher rates on properties worth 500,000 pounds ($659,450) or more, like the warehouses used by online giants," Reeves said in her budget speech to parliament.

Britain's major supermarket groups, including industry leader Tesco and number-two player Sainsbury's , had urged the government not to charge higher rates on high value properties, arguing the move would add to high food inflation. ($1 = 0.7582 pounds) (Reporting by Andy Bruce; writing by James Davey; editing by Sarah Young and William James)

Tesco

Sainsbury's