A temporary cut in business rates was announced yesterday in the Budget. This will give an exemption for businesses occupying property with a rateable value of up to £6,000, and discounts for those with a rateable value of up to £12,000. The measure is intended to last for 12 months from October.
The government claims that the cut will mean more than 300,000 small businesses avoid having to pay rates but it is important to check the 2010 valuation assessment when calculating whether your business will benefit. This comes into force at the start of April and means that many small businesses will face an increase in the rateable value of their premises and no longer qualify for relief. In addition the scheme will in general not be available for any business that occupies more than one property. Expert surveyors are warning that the reality for many businesses is that they will see their rates bill double next month and not qualify for the cut.
This announcement is welcome but we will have to wait and see if the decision remains in place after the upcoming general election.
Remember also that for a further year from April 5 no business rates will be payable for empty properties with a rateable value of up to £18,000. **Important update for 2011
here**
For tips on how to avoid rates on empty properties that do not qualify for this exemption or any other queries contact Steve Petty,
Commercial Property Solicitor 01926 629 005
This blog is not intended to constitute legal advice, nor is it intended to be a complete and authoritative statement of the law, and what we say might be out of date by the time you read it. You should always seek legal advice to confirm whether or how any information in this article applies to your particular situation. We offer a free telephone consultation to discuss your particular circumstances.