Business Rates in Spring Budget 2017

Additional Rate Reliefs in 2018

Additional Rate Relief Schemes were announced in the 2017 Spring Budget to assist businesses which, following the 2017 Business Rates revaluation and changes to other reliefs, faced the largest increases in the amount of rates payable.

In summary the measures announced are as follows:

1. Supporting Small Businesses

This is the second year of the scheme of relief available to those ratepayers facing large increases in their Business Rates charge as a result of the loss of small business or rural rate relief following the revaluation of their business premises.

Some small businesses will potentially benefit from a cap on Business Rate increases. This Relief will ensure that the increase per year in the bills of these ratepayers is the greater of:

  1. a percentage increase p.a. of 5%, 7.5%, 10%, 15% and 15% (2017/18 to 2021/22) all plus inflation; or
  2. a cash value of £600 per year (£50 per month).

2. Support for Public Houses

This relief has been extended for a second year to occupied properties. Eligible properties with a rateable value of less than £100,000 will receive up to £1,000 discount.

Your licensed premises must be open to the general public without requiring membership or residency, allow free entry, allow drinking without requiring food to be consumed and permit drinks to be consumed in person at the bar without relying on table service.

It excludes the following:

  • restaurants
  • cafes
  • nightclubs
  • hotels
  • snack bars
  • guesthouses
  • boarding houses
  • sports venues
  • music venues
  • festival sites
  • theatres
  • museums
  • exhibition halls
  • cinemas
  • concert halls
  • casinos

3. Revaluation Discretionary Relief

A discretionary funding pot of £300 million has been made available nationally. It is payable over 4 years to enable billing authorities to support those facing the steepest increases in their Business Rates.  The scheme will help businesses with a rateable value of less than £200,000 and facing an increase in Business Rates of over 12.5% this financial year. The ratepayer must have been in occupation on 31 March 2017.

Revaluation discretionary relief for 2018

We will shortly be applying an 8% relief for the 2018/19 financial year to all businesses that qualify.

All of these reliefs are subject to the European Union restrictions on state aid. A letter will be sent out to all qualifying businesses to explain these restrictions.

If you have any queries regarding Business Rates relief please call Business Rates on 01865 249811 or email: [email protected]

The Annual Demand Notices were produced prior to the Budget Statement. Please continue to make payments as outlined on your Demand Notice.

Visit the Spring Budget 2017: Things you need to know page on the GOV.UK website for more detail on the measures announced in the Spring Budget Statement on 8 March 2017.