Commercial Property Advisers

Call Now: 01302 361445

Rating Advice

What are Business Rates?

Business rates are a tax on occupation of non domestic property based on complex and evolving statute and case law. The local authority collects the tax on behalf of the government but has no discretion in setting the rateable value or the amount you pay other than certain reliefs. The tax is calculated by assessing the Rateable Value (RV) of each property. A property’s RV is largely based upon its market value at the valuation date know as ‘the antecedent valuation date’ this is currently 1st April 2003. Once a RV has been determined, it is multiplied by a rate poundage known as the Uniform Business Rates (UBR) currently the UBR applicable to England and Scotland for 2009/2010 is 48.1p. The Uniform Business Rates alter annually and are usually index linked.

Can you reduce your costs?

1.Appeal your rating assessment

Given the constant increase in this non-avoidable tax, it is important that occupiers are aware of any reliefs and reductions that are available to them to keep their outgoings as low as possible. Professional Business Rates advice is available from members of the Royal Institution of Chartered Surveyors. A surveyor will assess the VOA’s valuation by analysing the measurement and allocation of areas and the values adopted by the valuation officer. The surveyor will advise you whether any savings can be realistically made and the risks associated with lodging a rating appeal. In some instances rating appeals can lead to increases in the rateable value that could be a consequence of material change to the property. Professional advice from a surveyor will inform you whether or not an appeal should be considered. Your Rating surveyor will usually charge an initial fee to cover the assessment of the property. A success related fee will then be payable based on a percentage of any savings the surveyor achieves acting on your behalf over the first year.

2.Claim Empty Property Relief?

Landlords with empty properties are also eligible for 3 months empty rates relief (6 months for industrial premises), under recently amended legislation and full rates are payable thereafter. Where a property is part vacant, discretionary relief maybe available

3.Do You Qualify For Small Business Rates Relief?

Businesses operating from small premises are eligible for business rates relief of up to 50% subject to the following criteria:-

  1. you must occupy one property. Any other properties you occupy must have rateable values below £2,200 and the total rateable value of all of your properties must be under £10,000.
  2. all properties must be on the local rating list on 1 April of each year
  3. you must apply for the relief to your local billing authority within six months of the end of the chargeable year

If you would like to take professional advice, contact LWE Commercial Property Advisers on 01302 361445

Whether you are searching for new leasehold or freehold property to acquire,
looking for investment property to buy or sell, or have property to manage
ensure you seek good advice first at LWE Commercial Property Advisers.

Opening Times Monday - Friday 8.30am - 5.30pm