Business rate relief

Transitional relief

Transitional relief may apply following a revaluation of all Business Rate assessments.

Property values normally change a good deal between each revaluation.  Transitional arrangements help to phase in the effects of these changes by limiting the amount by which a bill may rise or fall following a revaluation.

Under the transition scheme, limits continue to apply to yearly increases and decreases until the full amount is due (rateable value times the multiplier).

The scheme applies only to the bill based on a property at the time of the revaluation.  If there are any changes to the property after the revaluation date, transitional arrangements will not normally apply to the part of a bill that relates to any increase in rateable value due to those changes. Any transitional adjustments will be shown on the front of your bill.

The transitional limits for the 2010 rating list are shown in the table below: -

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Small business rate relief

The Small Business Rate Relief scheme is designed to reduce the amount of Business Rates payable by small businesses.

Who is eligible for the relief?

You may be eligible for this relief if your business occupies one property with a rateable value of £17,999 or less.

If your business occupies more than one property, you may still eligible for some relief if:

• each additional property has a rateable value of £2599 or less; and
• the total rateable value of all your properties is £17,999 or less.

If your business has more than one property we may apply the relief only to the main property.

You cannot receive this relief unless your business actually occupies the property. If you do not intend to occupy a business premises straight away you may be eligible for Empty Property Relief (conditions apply).

 How much relief will my business receive?

If your business qualifies and has a rateable value of £6000 or less you will receive 100% relief. If your business property has a rateable value of between £6001 and £12000 the level of support will reduce by 1% for each £120 of rateable value above £6000.

How are Business Rates calculated?

Your Business Rates are calculated by multiplying the rateable value by the relevant multiplier. These multipliers are set each year by Government and are shown below.

For 2012/13 they are:

Lower rate (rateable values up to and including £17999)           = 0.45p

Standard rate (rateable values of £18000 and over)                 = 0.458p

For 2011/12 they are:

Lower rate (rateable values up to and including £17999)           = 0.426p

Standard rate (rateable values of £18000 and over)                 = 0.433p

For 2010/11 they are:

Lower rate (rateable values up to and including £17999)           = 0.407p

Standard rate (rateable values of £18000 and over)                 = 0.414p

Other Rate Relief's

If you qualify for other reliefs then you may not be entitled to claim Small Business Rate Relief. For example, if you would qualify for, or are already in receipt of, mandatory relief as a charity or rural rate relief as a post office, general store, Public House or food shop then you will not qualify for this relief. This does not include transitional relief or any discretionary reliefs.

How to apply

To be considered for this relief an application form for Small Business Rate Relief must be completed and returned to the Council Offices. Applications for rate relief can be accepted up to 6 months after the end of the rate year. If the rateable value of your property is altered, an application for rate relief will be accepted up to six months after the date of notification of the change to the rateable value.

For further information please contact us.

Relief for rural buinesses

Certain types of business in rural villages, with a population below 3000, may qualify for rural rate relief. The Council is able to give advice on the types of relief's available and how to apply.

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Mandatory village shop relief

To be eligible, you must fulfil at least one of criteria below:

• The only village general store where the rateable value is up to £8,500.
• The only post office with a rateable value of up to £8,500.
• A food shop with a rateable value of up to £8,500.
• The only village pub with a rateable value of up to £12,500.
• The only petrol station as long as it has a rateable value of up to £12,500.

If you are a business located within a qualifying rural settlement, you are entitled to at least a 50 per cent reduction in the business rates bill.

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Discretionary village shop relief

To be eligible, you fulfil one of the criteria below:

• The only village general store where the rateable value is up to £8,500.
• The only post office with a rateable value of up to £8,500.
• A food shop with a rateable value of up to £8,500.
• The only village pub with a rateable value of up to £16,500.
• Other businesses with a rateable value of up to £16,500.

If you are a business located within a qualifying rural settlement with a rateable value of up to £16,500, we may decide to give you up to 100 per cent relief, as long as your business is of benefit to the community.

Apply for discretionary village shop relief

Charities and non-profit organisations

Registered charities are entitled to relief on any non-domestic property that is wholly or mainly used in relation to the objectives of the charity. Registered Community Amateur Sports Clubs (CASC's) are also entitled to relief. Relief is given at 80% of the amount due. The Council can award discretionary relief on the remaining 20%.

If your organisation is not established or conducted for profit the council may decide to award you relief of up to 100%. To qualify, the main objects of the organisation must be charitable, religious, or concerned with education, sports or recreation, social welfare, science, literature or the fine arts.

You will need to apply to the Council for these reliefs.

For further information please contact us.

Empty Property Relief

The Empty Property Rate Relief scheme provides for a reduction of up to 100% of the Business Rates on a property.

Who is eligible for the relief?

 You may be eligible for relief if your business premises are empty. Certain plant, machinery and equipment used when the property was last occupied or intended for use when the property next becomes occupied may be disregarded when determining whether a property is empty. The length of time you can receive relief depends on a number of factors as set out below.

• non-industrial properties can get 100% rate relief for a maximum of 3 months;
• industrial properties can get 100% rate relief for a maximum of 6 months.

At the end of these periods, your business will be liable for the full charge. You will be charged full occupied rates if stock or goods remain on the premises, irrespective of whether you have ceased trading.

The following types of premises are exempt from Business Rates when empty.

• Empty properties where occupation is prohibited by law;
• Empty listed buildings; 
• Empty small properties with a rateable value of less than £2,600;
• Empty properties of companies in administration or liquidation; 
• Empty properties owned, and last occupied, by a charity where the next user of the property is likely to be charity;

If your property is not capable of occupation because it is in poor condition and cannot be economically repaired, the Valuation Officer may decide it should be taken out of the rating list altogether.   

Partially occupied properties

If part of your property is not being used and is completely unoccupied for a short time, you may receive relief to reduce the amount you have to pay.

To be eligible:

• part of the property must be unused and cleared of equipment whilst the business is relocating
• or short-term practical or financial constraints must be preventing you from occupying part of the property.

If we decide to issue a relief we will ask the Valuation Officer to split the rateable value between the occupied and unoccupied parts. Once the exemption for the unoccupied part has expired 100 per cent empty property rates becomes payable.

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Hardship relief

If your business is suffering severe hardship and cannot pay your business rates bill, you may be able to receive relief of up to 100 per cent.

This would normally only be done in extreme cases of hardship and for businesses which are particularly important to the local community. The decision to grant relief takes account of the fact that local council taxpayers will cover part of the cost of the relief.

A successful applicant would need to demonstrate all three of the following conditions:

• Hardship is being endured (established by the examination of financial records).
• The business is viable and the granting of relief will help ensure the future of the business.
• The business provides a considerable community benefit. (We will take into account the range of facilities available and the businesses impact on the local area).