Business Rates are the means by which businesses
who occupy non-domestic properties make a contribution towards the
costs of local services. Each non-domestic property has a rateable
value, which is set by the Valuation Office (VOA).
It produces and maintains a full list of all rateable values
which are available on their website at
www.voa.gov.uk. The Council then works out
the Business Rates for a property by multiplying the rateable
value by the 'poundage' which the Government sets from April 1
each year. This will change every year to move in line with
inflation.
Business properties are currently revalued every five years. The
next revaluation is from the 1 April 2010. The Valuation Office is
responsible for assessing properties and the majority of businesses
should have received a draft assessment form the Valuation Office
advising of the new rateable value that is effective from the 1
April 2010. Please contact the Valuation Office and not the billing
authority if you have any queries regarding the new rateable value.
The transitional arrangements will be over a five year period from
the 1 April 2010 and this ensures that each ratepayer pays their
fair contribution. The transitional arrangements are calculated
automatically and are shown on your bill .
For the 2009/10 financial year there are two multipliers: the
standard multiplier is 48.5p and the small business rates
multiplier is 48.1p. The multiplier for 2010/11 is to be
confirmed.
Eligible businesses that qualify with a rateable value of not more
than £14,999 (£17,999 from 1 April 2010) will pay at the reduced
rate. Businesses with a rateable value of below this level will
qualify for small business rates relief. All other ratepayers are
subject to the standard multiplier.
Deferral of Business Rates increase information
2009/10 fact sheet
Deferral of Business Rates increase further
information July 09
Small Business Rates Relief
SInce 1 April 2005, eligible businesses with rateable values
of below £5,000 (£6,000 from 1 April 2010) qualify
for 50% rate relief. This decreases on a sliding scale of
rateable value over £5,000 (£6,000 from 1 April 2010) up to £10,000
(£12,000 from 1 april 2010).
The relief is available to ratepayers with either:
-
one property
-
one main property and other additional
properties, providing that the additional properties do not
have individual rateable values of more than £2,200 (£2,600
from 1 April 2,600 from 1 April 2010) and the combined rateable
value of all the properties is under £15,000 (£18,000 from 1 April
2010).
Changes to
the Small Business Rate Relief Scheme (SBRR) removes the
requirement for business to reapply in 2010.
Businesses that no longer meet the necessary criteria must notify
the billing authority immediately of any change in
circumstances.
For an application form for Small Business Rates
Relief contact
Anglia Revenue Partnership
Empty Property Rates Relief
Formerly no Business Rates were payable for the first three months
that a property became empty providing that the property had not
been previously unoccupied. After that an empty property rate of
50% of the bill that would have been due on the occupied property.
Industrial buildings, listed buildings and small properties
with a rateable value of less than £2,200 (£2,600 from 1 April
2011/12) would have paid no empty property rates even after
the first three months have expired.
From 1 April 2008 owners of empty commercial properties had to pay
100% of the basic occupied business rate.
This resulted in a charge for properties that were previously
exempt from payment of business rates while they were empty. These
included properties such as warehouses, workshops, factories,
stores and land for storage. Properties such as offices and shops
that paid 50% rates after three month exempt period had to pay 100%
of the basic occupied charge
Industrial properties that become unoccupied received a six month
exemption period and was then charged 100% of the basic occupied
charge.
If a property is owned by a charitable organisation or is a
Community Amateur Sports Club then this charge will not apply
providing that the property when next in use will be used for
charitable purposes. Certain other empty rate exemptions
apply - please contact the Business Rate section for further
information.
For the 2009/10 financial year there were no empty rates
charged on properties below £15,000 rateable and for the
2010/11 financial year there will be no empty rate charged on
properties below £18,000 rateable value.
Other Rate Relief
Charities are entitled to relief from rates on any non-domestic
property which is wholly or mainly used for charitable purposes.
Registered Community Amateur Sports Clubs (CASCS) are also entitled
to relief from rates on any non-domestic property that is wholly or
mainly used for the charitable purposes. 80% rate relief is
generally allowed for both cases.
Certain types of businesses in rural villages with a population
below 3,000 may qualify for rate relief of 50%. Businesses that
qualify for this relief are; the sole general store and the sole
general post office in the village, provided it has a rateable
value of up to £7,000 (£8,500 from 1 April); and the sole pub and
sole petrol station, provided it has rateable value of up to
£10,500 (£12,500 from 1 April 2010). A business in a rural village
with a rateable value of up to £14,000 (£16,500) may apply for
Discretionary rural relief if that business is for the benefit of
the local community.
Rates Deferral 2009 - 2010
In September 2008, Retail Price Index (RPI) was five percent, much
higher than the level of RPI in March 2009 which was -0.4 percent.
Because the increase in 2009/10 business rates is based on the
September 2008 RPI figure, ratepayers are faced with a significant
increase in their bills from 1 April 2009.
The Government decided that businesses could spread 60% of the RPI
inflation uprating (the equivalent of three percent of their total
2009/10 bill) to their business rates in 2009/10 over three years
to 2011/12. The Government will also allow those affected by the
end of the 2005 transitional relief scheme to spread payment of the
increase in their bills over the three years.
Exceptions
Rate payers will not qualify if:
- The ratepayer has already paid the 2009/10 rates liability in
full
- The ratepayer is due to pay the 2009/10 rates liability in full
within 21 days of the authority receiving the application
- The ratepayer is in default and has lost the right to pay by
instalments
For further information contact Business Rates on 01842
756568or email:
nndr@angliarevenues.gov.uk or
visit
www.mybusinessrates.gov.uk
See
Making
a payment to the Council for information on how to pay your
business
rates