The Association of Convenience Stores (ACS) has opposed plans to amend the Riot Damages Act, which would limit the amount of compensation that could be paid out to stores damaged by any unrest.
A Home Office consultation has proposed that only businesses with a turnover of less than £2m should be eligible to claim compensation.
ACS chief executive James Lowman said: “During the last riots in 2011, many businesses were significantly damaged and were only able to re-open with the help of compensation through the Riot Damages Act. We agree that the Act requires reform, but strongly believe that all businesses should be considered for compensation.
“The exclusion of businesses with over £2m turnover would mean that many members with two or three shops, or even a single forecourt site, would be ineligible for compensation, due to the high turnover nature of their business.”
The Association of Business Insurers also warned against the reforms, estimating that for every £10 paid out in compensation after the 2011 rioting, only £1 would have been paid out under the reformed Act.
About £500m-worth of damage was estimated to have been caused in the 2011 riots, as well as more than £300m in lost sales. The Metropolitan Police received compensation claims totalling £299m from businesses in the London area.
Concerns had been raised over the time it took for compensation to be paid out. Ravinder and Amrit Khurmy, whose Ealing Green Local store was destroyed by fire, waited almost two years to get back on their feet. “It took months for the compensation to come in and our store was closed the entire time,” Ravinder said.