Business Rates: Liability and Mitigation
Business Rates are a major cost for business and property owners unless managed expertly. Liability for payment will be on the occupier normally but where a property or unit is vacant the owner will be liable.
Strategic reorganisation of commercial property could potentially lead to further Business Rates mitigation. The Valuation Office Agency (VOA) will review the matter under the “Check and Challenge” scheme.
Appeals against VOA decisions are to the Valuation Tribunal (VT) where we can represent clients.
We can advise clients on ways to reduce or eliminate rates liability where property is vacant and the empty property relief (EPR) has been exhausted.
Some business operations are granted significant Business Rates Relief of up to 75% and we can assess your eligibility and apply for relief if necessary.
Local Authority demands and recovery actions for Business Rates, usually in the Magistrates Courts, can be defended in appropriate cases. We can act for clients in defending such cases where appropriate.
In appropriate complex cases we can assist you to seek opinion from experienced counsel under the Direct Access Scheme.
We can offer a free initial assessment.
- Business Rates Liability Assessment
- Empty Property Relief (EPR) Advice
- Business Rates Relief (up to 75%)
- VOA Check and Challenge Representation
- Valuation Tribunal (VT) Appeals
- Local Authority Demand Defence
Arrange a free initial assessment of your Business Rates liability.
Frequently Asked Questions
Who is liable to pay Business Rates?
Liability for payment normally falls on the occupier of the property. However, where a property or unit is vacant, the owner becomes liable. Understanding who bears liability is the first step to effective Business Rates Management.
What is the VOA Check and Challenge scheme?
The Valuation Office Agency (VOA) administers the Check and Challenge scheme, which allows ratepayers to dispute their rateable value. If you believe your assessment is incorrect, you can submit a Check, and if unresolved, escalate to a Challenge. Appeals beyond that go to the Valuation Tribunal (VT), where we can act representing clients.
Can Business Rates liability be reduced or eliminated?
Yes. We can advise on ways to reduce or eliminate rates liability, particularly where property is vacant and Empty Property Relief (EPR) has been exhausted. Strategic reorganisation of commercial property may also lead to further mitigation. Some businesses qualify for significant Business Rates Relief of up to 75%, and we can assess your eligibility and apply on your behalf.
What are business rates?
Business rates are a UK tax on the occupation of non-domestic property, calculated by reference to the rateable value in the VOA rating list.
Who is liable for business rates on an empty property?
The person entitled to possession is generally liable, subject to empty property relief and the statutory exemption periods.
What reliefs are available to reduce business rates?
Depending on the property and occupier, reliefs may include small business rate relief, charitable relief, retail or empty property relief and hardship relief. We assess which apply and how to claim them.
How do empty property rates work?
Most commercial properties benefit from a rate-free period when they become empty, after which full rates usually apply. We advise on the void period, exemptions and lawful mitigation options.
What is rateable value and how is it assessed?
Rateable value is the Valuation Office Agency's estimate of a property's annual open-market rent at a set valuation date. It is multiplied by the relevant multiplier to calculate the rates payable.
Can I appeal my business rates assessment?
Yes. Through the Check, Challenge, Appeal process you can ask the VOA to review the rateable value where you believe it is incorrect. We help prepare and support the challenge.
When are business rates revalued?
The VOA periodically revalues all non-domestic properties so that rateable values reflect current rental levels. A revaluation can change your liability, and we can review its impact for you.