Allow
More info
- What are Non-domestic Properties?
- Are Business rates payable on all Non-domestic Properties?
- Who pays Business rates?
- How are Business Rates Calculated?
- What is the Multiplier?
- What is a rateable value?
- Do I have to pay rates if my property is empty?
- How do I pay my bill?
- What if I can't pay my bill?
- Can my bill be reduced?
- Where is my local Valuation Office?
What are Non-domestic properties?
This is any property that is not used for people to live in, for example- shops
- offices
- factories
- warehouses
- public houses
- cinemas
Some Non-domestic properties are exempt from business rates; these include:
- agricultural land and buildings
- fish farms
- fishing rights
- places of religious worship
- trinity House properties (e.g. lighthouses)
- sewers and accessories
- public parks
- property used for the disabled
- air raid protection works
- swinging moorings
- road crossings over watercourses
- properties occupied by visiting forces
Usually, the person or company who occupies a non-domestic property has to pay the business rates bill. If a non-domestic property is unoccupied, the owner or tenant (if the property is leased) will have to pay the bill.
Normally the Business Rate bill is calculated by multiplying the rateable value of the property by the multiplier.
For example, if your rateable value is £3500 your bill for 2010 (without any relief) would be calculated as £3500 x 41.4p equalling £1449.00.
However in this first year of revaluation properties may be subject to an adjustment called Transitional Relief (see section on Reductions and Reliefs)
The multiplier or "poundage rate" is set by central government each financial year for the whole of England and normally changes in line with inflation.
- The multiplier for the financial year 2005/06 is 42.2p. (small business rate multiplier 41.5p)
- The multiplier for the financial year 2006/07 is 43.3p. (small business rate multiplier 42.6p)
- The multiplier for the financial year 2007/08 is 44.4p. (small business rate multiplier 44.1p)
- The multiplier for the financial year 2008/09 is 46.2p. (small business rate multiplier 45.8p)
- The multiplier for the financial year 2009/10 is 48.5p. (small business rate multiplier 48.1p)
- The multiplier for the financial year 2010/11 is 41.4p. (small business rate multiplier 40.7p)
- The multiplier for the financial year 2011/12 is 43.3p (small business rate multiplier 42.6p)
- The multiplier for the financial year 2012/13 is 45.8p (small business rate multiplier 45.0p)
These "poundage" figures are multiplied by the rateable value to calculate the annual rates bill.
Apart from those properties exempt from rating, each commercial property has a rateable value which is assessed by Her Majesty’s Revenue & Customs, Valuation Office Agency (VOA). In general terms, the rateable value reflects the annual rent that the property could be let for on the open market on a particular date and is subject to review every five years, with the new revaluation period coming into effect on 1 April 2010.
The VOA compiles and maintains a list of all properties and their rateable values within each local authority.
The valuation officer may change the rateable value of a property if its circumstances have changed. You (and anyone who has an interest in the property) can ask for a change in the rateable value. You can do this if you think the circumstances of the property have changed, or if you think that the rateable value is wrong. If you and the valuation officer do not agree about the rateable value, you can appeal to a tribunal.
The Valuation List and information about the circumstances that may change the rateable value of your property is available from the valuation office on the Valuation Office Agency website at www.voa.gov.uk 
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.Certain empty properties are subject to business rates. When it becomes empty of stock it is referred to as a “void property”, and no rates are payable for the first 3 months (6 months if it is an industrial property like a warehouse or factory). After this time a charge is payable at 100% of the full charge
There are three exceptions to the above. Empty properties that are:
- listed buildings or those subject to building preservation notices
- properties with rateable values below £2,600 from 1 April 2011, and
- those held by a charity or community amateur sports club as long it is to be used by the charity or club
-these are all totally exempt from charge all the time that they remain empty.
Minimum Rateable Value
This is the rateable value threshhold used for determining whether a property is exempt from charge when it is empty. Empty properties below this value are exempt from charge whilst they remain so. These values are subject to changes annually and a list of the values are below.
| Year | Minimum Rateable Value |
|---|---|
| 2005/2006 | £2,200 |
| 2006/2007 | £2,200 |
| 2007/2008 | £2,200 |
| 2008/2009 | £2,200 |
| 2009/2010 | £15,000 |
| 2010/2011 | £18,000 |
| 2011/2012 | £2,600 |
| 2012/2013 | £2,600 |
The increase to £15000 then to £18,000 for the years 2009 and 2010 were only temporary
For properties that have rateable values higher than the foregoing threshholds the rules for empty property relief are as follow:
Non- Industrial Premises i.e. shops , offices etc.
| Year | Period of exemption | % charge after |
|---|---|---|
| 2005/2006 | 3 months | 50% |
| 2006/2007 | 3 months | 50% |
| 2007/2008 | 3 months | 50% |
| 2008/2009 | 3 months | 100% |
| 2009/2010 | 3 months | 100% |
| 2010/2011 | 3 months | 100% |
| 2011/2012 | 3 months | 100% |
| 2012/2013 | 3 months | 100% |
Industrial Premises i.e factories, workshops, stores
| Year | Period of exemption | % charge after |
|---|---|---|
| 2005/2006 | 6 months | 0% |
| 2006/2007 | 6 months | 0% |
| 2007/2008 | 6 months | 0% |
| 2008/2009 | 6 months | 100% |
| 2009/2010 | 6 months | 100% |
| 2010/2011 | 6 months | 100% |
| 2011/2012 | 6 months | 100% |
| 2012/2013 | 6 months | 100% |
Where is my local Valuation Office
For more advice about the valuation of your property, how to appeal, or programmes used for considering appeals, you should contact your valuation officer. The local office is:Exeter Valuation Office
Broadwalk House
Southernhay West
Exeter
EX1 1TS
Broadwalk House
Southernhay West
Exeter
EX1 1TS
Tel: 03000 501501
Related Websites
Related Tasks
Contact Business Rates
- Tel: 01803 207201
- Email: business.rates@torbay.gov.uk
- Fax: 01803 207234
