Chamber News - Business Rates

Back in December we commented on the Governments extension in rate relief for properties with a rateable value of below £50,000.

Many of those ‘retail’ businesses affected will now have received details from Eden District Council of the ‘Retail Relief’ initiative which was announced by the Chancellor in his Autumn Budget.

This provides for relief of up to £1,000 for shops, restaurants, cafes and drinking establishments that have a rateable value of below £50,000

This document encourages you to complete an application form by 17th March 2014 if you feel you may qualify for the relief.

Could we urge you to compete and return this application to them so this relief, if it applies to you, can be allowed against your 2014/15 business rates bill.

Use this link for further guidance https://www.gov.uk/government/publications/business-rates-retail-relief .

Please also see the following information…………….    

Autumn Statement Changes

In the Autumn Statement 2013, the Chancellor of the Exchequer announced changes to the

business rates system:

i) the RPI increase in 2014-15 will be capped at 2% instead of 3.2%

Multipliers: 47.1p & 48.2p

ii) the temporary doubling of the Small Business Rate Relief will be extended for a further 12

months until 31 March 2015;

iii) ratepayers receiving Small Business Rate Relief that take on an additional property which

would currently disqualify them from receiving relief will continue to receive their current relief

for 12 months;

iv) a discount of up to £1,000 for shops, pubs and restaurants with a rateable value below

£50,000 for two years, from 1 April 2014. This is a discretionary scheme and the Council

Executive will make a formal decision on 04 March 2014.

Included in the scheme are the following types of businesses:

Businesses that are being used for the sale of goods to visiting members of the public:

Shops (such as: florist, bakers, butchers, grocers, greengrocers, jewellers, stationers, off

licence, chemists, newsagents, hardware stores, supermarkets, etc), charity shops, opticians,

post offices, furnishing shops/display rooms (such as: carpet shops, double glazing, garage

doors), car/ caravan show rooms, second hard car lots, markets, petrol stations, garden

centres, art galleries (where art is for sale/hire).

Businesses that are being used for the provision of the following services to visiting

members of the public:

Hair and beauty services (such as: hairdressers, nail bars, beauty salons, tanning shops, etc),

shoe repairs/ key cutting, travel agents, ticket offices e.g. for theatre, dry cleaners,

launderettes, PC/ TV/ domestic appliance repair, funeral directors, photo processing, DVD/

video rentals, tool hire, car hire.

Businesses that are being used for the sale of food and/ or drink to visiting members of

the public:

Restaurants, takeaways, sandwich shops, coffee shops, pubs, bars.

Excluded from the scheme are the following types of business:

• Financial services (such as banks, building societies, cash points, bureau de change,

payday lenders, betting shops, pawn brokers)

• Other services (such as estate agents, letting agents, employment agencies)

• Medical services (such as vets, dentists, doctors, osteopaths, chiropractors)

• Professional services (such as solicitors, accountants, insurance agents/ financial advisers,

tutors)

• Post office sorting office

• Businesses that are not reasonably accessible to visiting members of the public.

Please note that these lists are not exhaustive

v) 50 per cent business rates relief for 18 months for businesses that - between 1 April 2014

and 31 March 2016 - move into retail premises that have been empty for a year or more;