Have you been adversely affected by the business rates revaluation?


Have you been adversely affected by the business rates revaluation?

The Government announced as part of its Spring Budget that it was going to establish a £300m discretionary fund over four years from 2017/18 to support businesses.

Nationally the £300m covers the four years from 2017/18 in the following amounts:

  • £175m in 2017/18
  • £85m in 2018/19
  • £35m in 2019/20
  • £5m in 2020/21

Rother's share over the four years is as follows:

  • £228,000 in 2017/18
  • £111,000 in 2018/19
  • £46,000 in 2019/20
  • £7,000 in 2020/21

The Council will only be reimbursed the actual amount of relief granted each year, up to the above values.  You will see the majority of support will be given in the first year with a rapid drop off in subsequent years.  Each Council is largely free to design their own scheme which reflects the issues in their area and which supports economic and social regeneration policies.  Over the last couple of months we have been working on a framework of how we will award this extra help for Rother businesses. The broad parameters are shown below:

a. Relief will be allowed to qualifying businesses as at 1 April 2017.  Any business commencing occupation of a property after this date would not qualify for help.  This is on the basis that the rate liability would be known to the business before they occupied the property.

b. Businesses will have to apply for the help.  Applications will enable the Council to check that any other reliefs have been claimed and that any state aid issues are identified.

c. Help will be available to businesses with a rateable value of less than £100,000.  This will ensure the available funding is targeted at small medium enterprises (SMEs) within the district.

d. Relief would be applied after all other qualifying reliefs are awarded e.g. mandatory rate relief, small business rate relief.

e. That the following business sectors are excluded from help:

Local Authorities (including The District, County Council and any Parish or Town Councils are automatically excluded from receiving relief)

Other Precepting Authorities (including the Police and Crime Commissioner and the Fire and Rescue Service are automatically excluded from receiving relief)

Other public sector organisations (e.g. National Health Service Trusts etc.; Ministry of Defence etc.)

Public Sector Organisations (e.g. Health, Local Government)

Utility and Communication companies

Financial Services (e.g. banks, accountancy)

Gambling establishments

Pawn brokers and similar organisations

Estate Agents


Private Schools - post five year old education

f. That the amount of relief awarded in the first year will ensure qualifying businesses will pay no more in 2017/18 than the rates paid in 2016/17.

g. That the relief awarded for subsequent years be reduced to the following amounts to remain within the available funding:

Year 2 - 48% of the relief awarded in 2017/18

Year 3 - 20% of the relief awarded in 2018/19

Year 4 - 3% of the relief awarded in 2019/20


We will be reporting the scheme to our Cabinet on the 4 September and then to Full Council on the 24 September. If you have any comments regarding the proposals I would be pleased to receive them at the following email address: finance@rother.gov.uk

If you would like to know about other rate reliefs that you may be entitled to please go to our website at  http://www.rother.gov.uk/article/279/Business-rates

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