Rating (Empty Property) Act 2007
Important information for owners/leaseholders concerning the rating of empty non-domestic property – The Rating (Empty Property) Act 2007.
With effect from 1 Aril 2008 the government is changing entitlement to relief from rates for empty non-domestic property.
If you are responsible for rates in respect of an empty non-domestic property it is likely you will beaffected by the changes. The following questions and answers are intended to explain how and allow you to plan accordingly.
What changes are being made?
The principle changes are as follows:
- empty property rate relief will be reduced from 50% to 0%
- exemption from rates for empty industrial property will no longer be open ended but limited to six months
Why are the changes being made?
The changes are being made to provide a strong incentive to bring empty property back into use and in particular are intended to:
- help increase the supply of premises to let
- reduce business rents and improve competitiveness
- encourage re-development of brownfield sites so reducing the need for development on greenfield land
What will it mean for my rate liability?
Currently, most empty property is liable to rates at 50% of the full occupied rate after an initial exemption period of three months, while empty industrial property is exempt altogether.
The changes will mean that, as of 1 April 2008, most property that has been empty for more than three months - or, in the case of industrial property, for more than six months - will no longer receive any relief from rates and the full amount will become payable.
Are all empty properties affected?
Some non-domestic properties will still be exempt from rates after 1st April 2008 including:
- any small property with a rateable value below £2200
- where liability falls on a charity or community amateur sports club
- listed buildings
- Certain properties subject to insolvency/administration
Can I appeal against the change in my rates liability?
The changes in rates liability arising from the reforms to empty property relief are not in themselves grounds for appeal. However, if you disagree with the rateable value that appears in the current rating list for your property, under existing arrangements you may challenge it by making a `proposal’ against it to your local Valuation Office. Your rights of appeal are not affected by the reforms to empty property relief and you can contact the local Valuation Office for further information about making proposals.
Can I get my property taken out of rating?
If your property is not capable of beneficial occupation – for instance, if it is in poor condition and cannot be economically repaired – the Valuation Office may judge it should be taken out of rating altogether.
What will happen next?
Bills with the increased charges will be sent out in March 2008 and will be payable under normal instalment arrangements (April to January).
Where can I find out the rateable value of a property?
The quickest and easiest way to find the rateable value of any non-domestic property in England is through the website of the Valuation Office Agency.
Where can I get further information on these changes or anything else to do with non-domestic rates?
More information about non-domestic rates can be found on the following websites:
Contact us
Business Rates Service
Walsall Council
PO Box 23
Walsall
WS1 1TW
Enquiry line 0845 111 2853
Payment line 0845 111 2854 (24 hours)
Fax 01922 723337
Email businessrates@walsall.gov.uk
You can use our online contact form for general enquiries, compliments and complaints.
This page was last updated on 28 July 2008