Graham + Sibbald: Business Rates News Sheet Spring Budget

Business Rates News Sheet
March 2024

Welcome to our news sheet focusing on the Spring Budget and a new hire!

With lots of questions coming in from clients, old and new, please find contact details for our team at the bottom of this newsletter.

Spring Budget 2024- Business Rates (England)

Following the budget on Wednesday 6th March, this briefing outlines upcoming changes and other matters impacting on business rates and ratepayers in England, as a result of this week’s budget. 
 

Extension of the Empty Property Relief ‘reset period’ from 6 weeks to 3 months (13 weeks) from 1 April 2024

Unlike in Scotland and Wales where the empty rates relief systems are much less generous, ratepayers with empty properties in England can currently mitigate their liabilities by re-occupying a property for six weeks and then claiming a three-month (offices and retail) or six month (industrial) period of 100% relief. There has been much discussion in recent months as to whether the government in England would follow the lead taken by Scotland and Wales in reducing the “generosity” of the current scheme. Instead of the current six-week occupation period, properties will need to be occupied for thirteen weeks (approximately three months) before being eligible for the empty relief which, thankfully remains unchanged at three and six months respectively for offices / retail and industrial.
 
Film Studios – 40% Business Rates Relief
Following significant lobbying from the industry which has seen some huge increases in rateable value between the previous (2017) Rating List and the new List which came into effect last April. It was announced that film studios in England will receive 40% relief on their liabilities for ten years (until 2034). Details aren't clear at present but will be published in due course.
 
Large Multiplier – Confirmation 
Although this was announced in the Autumn statement, there was potential for the Chancellor to reverse the planned increase in the “large” business rates multiplier from 51.2p to 54.6p in April, set by applying September’s inflation figure of 6.7%. Given that inflation has fallen significantly since then and looks to be heading towards the Bank of England’s 2% target, and that the “small” business multiplier is set to remain frozen at 49.9p, there was a possibility that the Chancellor might limit the increase for larger properties. However, this has not materialised.

New Hire for G+S Business Rates Team!

We would like to introduce Stuart Blyth (on left) to the Rating Team, he is based within our Edinburgh office but will be covering the whole of Scotland. 

Stuart has almost 15 years of experience working within the Valuation for Business Rates sector having started his career at Scottish Borders Assessors before moving onto Lothian Valuation Joint Board where he achieved his Chartership and became a member of RICS. During his time at Lothian Valuation Joint Board he helped to deliver the 2017 and 2023 Valuation Rolls, surveyed and valued a wide variety of properties and undertook the negotiating and settling of a range of appeals.

Any Questions?

Tim Bunker - Edinburgh
T: 0131 240 5307
E: tim.bunker@g-s.co.uk

Ian Landau - London
T: 07702 049 200
E: ian.landau@g-s.co.uk

Stuart Blyth - Edinburgh
T: 07789 557 681
E: stuart.blyth@g-s.co.uk

Marta Calanca - Glasgow
T: 0141 332 1194
E: marta.calanca@g-s.co.uk

Matt Roberts - Manchester
T: 07570 294 627
E: matt.roberts@g-s.co.uk

General Enquiries
E: rating2023@g-s.co.uk
W: www.g-s.co.uk

Please visit our website:
www.g-s.co.uk

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