Business Rates Relief 2017
Following this years business rates revaluation, many our our local businesses experienced changes in their business rates bill in 2017.
The Government has now awarded funds to Southwark Council to offer discretionary business rate relief to businesses whose rates have increased following revaluation. Southwark’s scheme is based on the principle that relief should be targeted to small and medium size businesses that are facing a significant increase in their bills this year. You’re business should receive the rebate automatically. Full details of the scheme below:
Relief will be provided as widely and evenly as possible with the scheme being simple and transparent.
BUSINESSES THAT ARE ELIGIBLE FOR RELIEF WILL SATISFY THE FOLLOWING CRITERIA:
- The property they occupy has a rateable value below £200,000
- They were in occupation prior to September 2016
- They have had an increase in their bills after all relevant reliefs have been applied
BUSINESSES WILL NOT QUALIFY IF:
- Their increase is below £50.00
- They occupy more than one property in Southwark
- They are a national or multinational company
- They are a betting shop or financial service (e.g. banks, cash points, payday lenders)
- The property is unoccupied
- The property is occupied by Southwark Council, the GLA or another local or central government organisation
HOW RELIEF IS CALCULATED
Relief will be awarded against the amount a business’s bill has increased by in 2017. To provide more relief to small and medium sized businesses a banded relief scheme will be adopted.
As follows:
| Rateable Value | Reduction % |
| Small (£0-£28,000) | – 100% |
| Medium (£28,001 – £100,000) | – 85% |
| Large (£100,001 – £200,000) | – 35% |
AWARDS
Relief awards will be applied automatically to accounts without the need for businesses to complete an application form. Roll out of reliefs will begin the week commencing Monday 2 October 2017 and it is estimated that all reliefs will have been awarded within 6 weeks.
ADDITIONAL SUPPORT
£250,000 will be ring-fenced for those businesses that may fall outside the scheme but can prove exceptional circumstances where they have been adversely affected by revaluation. A business would have to apply for this additional support through an application process.
SUPPORTING SMALL BUSINESSES RELIEF SCHEME
The Government has also announced a new relief for small businesses who lost some or all of their Small Business Rates Relief following revaluation. This will cap their increases to £600 per annum. Reliefs will be applied to qualifying business rates accounts from Monday 2 October 2017 and it is estimated that all reliefs will be awarded within 6 weeks
FIND OUT MORE
For further information on the scheme, please visit: www.southwark.gov.uk/business-rates/reducing-your-bill/revaluation-2017-and-relief-schemes?chapter=3
Posted in BID News