Business Rates Relief

Covid-19 Additional Relief Fund (CARF)

The Government has announced a new Covid-19 Additional Relief Fund (CARF) of £1.5 billion.

The purpose of the fund is to support those businesses affected by the pandemic but that were ineligible for existing support linked to business rates.

The £1.5 billion has been allocated to local authorities based upon the estimated rateable value in each local authority rating list which falls within the scope of the fund.

The relief is available to reduce chargeable amounts in respect of 2021/22 Business Rates bills only.

Find out more and apply for the Covid-19 Additional Relief Fund (CARF)

2020 Budget: Business Rates Measures

In response to COVID-19, at Budget 2020 the Government announced that it would provide additional business rate support to some small businesses. The Chancellor announced, as a temporary measure for 2020/21 that he would:

• Increase the level of the retail discount to 100 per cent for eligible retail businesses occupying a property with a rateable value of less than £51,000;
• Expand the retail discount to include hospitality and leisure properties, with a rateable value of less than £51,000 (such as museums, theatres, gyms and hotels); and
• Increase the level of the pubs discount to £5000 for pubs with a rateable value of less than £100,000.

These changes will have effect for 2020/21. State aid rules apply to theses discounts in the normal way.

Once full guidelines are received from Government, any increases to existing relief will be applied automatically and any sector now becoming eligible for relief, that was not previously, will be contacted.

Mandatory and discretionary rate relief

The following rate relief can be applied for with this form:

Mandatory and Discretionary Rate Relief (PDF Document, 101.23 Kb)

Unoccupied property rating

Business rates will not be payable in the first three months that a property is empty. This is extended to six months for certain industrial properties. After this period, rates are payable in full unless the unoccupied property rate has been reduced by the Government by order. In most cases, the unoccupied property rate is zero for properties owned by charities and community amateur sports clubs. In addition, there are a number of exemptions from the empty property rate. Full details on exemptions can be obtained from the business rates section at the Council. If the unoccupied property rate for the financial year has been reduced by order, it will be shown on the front of your bill.

Partly occupied property relief

A ratepayer is liable for the full non-domestic rate whether a property is wholly occupied or only partly occupied. Where a property is partly occupied for a short time, the Council has discretion in certain cases to award relief in respect of the unoccupied part. Full details can be obtained from the business rates section at the Council.

Charity and registered community amateur sports club relief

Charities and registered community amateur sports clubs are entitled to 80 per cent relief where the property is occupied by the charity or club and is wholly or mainly used for charitable purposes or as a registered community amateur sports club.

The Council has the discretion to give further relief on the remaining bill. Full details can be obtained from the business rates section at the Council, download the mandatory and discretionary rate relief application form.

Non-profit making organisation relief

The local authority has the discretion to give relief to non-profit making organisations. Full details can be obtained from the business rates section at the Council, download the mandatory and discretionary rate relief application form.

Hardship relief

The Council has the discretion to give relief in special circumstances. Full details can be obtained from the business rates section at the Council.

Small business rate relief

Ratepayers who occupy a property with a rateable value which does not exceed £50,999 (and who are not entitled to other mandatory relief or are liable for unoccupied property rates) will have their bills calculated using the lower small business non-domestic rating multiplier, rather than the national non-domestic rating multiplier.

In addition, generally, if the sole or main property is shown on the rating list with a rateable value which does not exceed £15,000, the ratepayer will receive a percentage reduction in their rates bill for this property of up to a maximum of 100%. For a property with a rateable value of not more than £12,000, the ratepayer will receive a 100% reduction in their rates bill.

Generally, this percentage reduction (relief) is only available to ratepayers who occupy either-

(a) one property, or

(b) one main property and other additional properties providing those additional properties with each have a rateable value which does not exceed £2,899.

The rateable value of the property mentioned in (a), or the aggregate rateable value of all the properties mentioned in (b), must not exceed £19,999 outside London or £27,999 in London on each day for which relief is being sought. If the rateable value, or aggregate rateable value, increases above those levels, relief will cease from the day of the increase.

The Government has introduced additional support to small businesses. For those businesses that take on an additional property which would normally have meant the loss of small business rate relief, the Government has confirmed that they will be allowed to keep that relief for a period of 12 months.

An application for Small Business Rate Relief is not required. Where a ratepayer meets the eligibility criteria and has not received the relief they should contact their local authority. Provided the ratepayer continues to satisfy the conditions for relief which apply at the relevant time as regards the property and the ratepayer, they will automatically continue to receive relief in each new valuation period.

Certain changes in circumstances will need to be notified to the local authority by a ratepayer who is in receipt of relief (other changes will be picked up by the local authority). The changes which should be notified are—

(a) the ratepayer taking up occupation of an additional property, and

(b) an increase in the rateable value of a property occupied by the ratepayer in an area other than the area of the local authority which granted the relief.

Full details on the eligibility criteria and on how to apply for this relief are available from the business rates section at the Council, download a Single Business Rate Relief application.

Small Business Rates Relief Application (Word Document, 44.34 Kb)