Business Rates - Retail Relief

The government announced in Autumn Statement 2013, that it would provide a business rates discount of up to £1,000 each year for 2014/15 and 2015/16.

Which businesses does it apply to?

Properties that will benefit from the relief will be occupied hereditaments with a rateable value of £50,000 or less, that are wholly or mainly being used as shops, restaurants, cafes and drinking establishments.

Which businesses does it not apply to?

The list below sets out the types of uses that government does not consider to be retail use for the purpose of this relief:

• Financial services (e.g. banks, building societies, cash points, bureau de change, payday lenders, betting shops, pawn brokers)
• Other services (e.g. estate agents, letting agents, employment agencies)
• Medical services (e.g. vets, dentists, doctors, osteopaths, chiropractors)
• Professional services (e.g. solicitors, accountants, insurance agents/ financial advisers, tutors)
• Post office sorting office

The relief will be applied against the net bill after all other reliefs. Ratepayers that occupy more than one property will be entitled to relief for each of their eligible properties, subject to State Aid de minimis limits.

Most councils have an application form that must be completed to have the discount applied. Contact your local council for more information. 

Date published 3 Oct 2014

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.