Types of relief and amount
Charitable Relief
Amount: 20%
Discretionary relief will be awarded in the following circumstances:
1. Sporting and recreational clubs that are not established or conducted for profit, are accredited by HMRC as Community Amateur Sports Clubs (CASCs) and the rating assessment does not have bar facilities
2. Village Halls, Leisure Centres and Community Centres managed by voluntary management committees
Part Occupied Relief
Amount: Appropriate empty rules apply to empty part of the property
Businesses partly occupying premises may be awarded relief. Relief may be awarded where:
1. Unoccupied parts of a property can be clearly defined and are reasonably segregated from the occupied part of the property
2. The ratepayer is moving into the whole premises gradually, over a period of time or,
3. Is moving out of the whole premises gradually, over a period of time or,
4. Is occupying the property temporarily, for example, because the usual premises are being rebuilt or refurbished, because of fire damage or similar.
5. The partial occupation is for a period of up to 12 months
6. If it is likely to last longer than this, the VOA may be able to value the unoccupied area separately
Relief may not be awarded where:
1. It appears to the Council that the reason that part of the property is unoccupied is wholly or mainly for the purposes of applying for rate relief
2. The application is made after the premises have become fully occupied/unoccupied
3. The partial occupation of the property may be considered to arise due to the ordinary day to day nature of the business (for example the operation of a warehouse)
Relief may be awarded for a period of up to 3 months or up to 6 months for industrial properties.
Relief will end when there is a change in the partial occupation or at the end of the financial year/rating period, if there is a change in the rateable value (through revaluation or an appeal), if the ratepayer ceases to be liable to pay non-domestic rates in respect of the property or where all or part of the unoccupied area has remained unoccupied for one year.
Hardship Relief
Amount: Depends upon circumstances
Businesses experiencing financial hardship may be awarded discretionary hardship relief. There is no specific definition of hardship although the Council will consider:
1. Each application on its own merits
2. Relief granted should be the exception rather than the rule
3. The test of hardship need not be confined to ‘financial’ hardship, all relevant factors affecting the ability of a business to meet its liability for rates should be taken into account
4. The interests of the council tax payers go wider than direct financial interests and may include such things as employment prospects and local amenities
5. Where the granting of relief would have an adverse effect on the financial interests of local tax payers, the case for reduction of rates may still outweigh the cost to local tax payers
6. The Council’s corporate policies
7. The contribution of the business to the local area
8. The size of the business: the Council would normally give preference to small businesses although relief is available in principle to all businesses Applications for hardship rate relief shall be regarded as a last resort and will only be considered after consideration of any other forms of rate relief to which the applicant may be eligible
Relief will be granted where:
1. It is considered that the ratepayer would sustain hardship by paying the whole bill
2. It is reasonable to grant relief having due regard to the interests of council tax payers
Relief will not be granted:
1. To enable a new business to become established
2. Where a profit has been made or the loss is minor in comparison to the overall turnover Hardship relief will normally be awarded for a short, fixed period depending on the nature and likely duration of the hardship. All awards shall cease at the end of the financial year if not ceased at an earlier date.