How do you reduce your Rateable Value.
Each Rateable Value is calculated by the Valuation Office Agency, a government body responsible for maintaining the Rating List. They value each property at set intervals and your rateable value is their opinion of what the property would let for on a fixed valuation date based on set assumptions. The current 2017 Rating List, based on values at 1 April 2015, has been extended by two years and will be used to calculate liability from 1 April 2017 to 31 March 2023.
The vast majority of rateable values are calculated by applying a rate per square meter to the calculated floor area, with suitable adjustments to reflect specification. There are some exceptions to this such as pubs, which are based on turnover and other specialist properties where a profits method or contractors test may be used.
So how do you reduce your rateable value?
Firstly, you should appoint a reputable agent to guide you through the process – we are Chartered Surveyors with over 100 years combined experience in this complex field. We will guide you through the process with as minimal fuss and distraction from your day to day business as possible. Before taking any action, we will establish the facts, inspect the property and identify the opportunities available. In England you need to claim your property on the Government Gateway before we can take action – we will guide you through the process. In Wales we need a Letter of Authority which we will provide you with. Once the admin is out of the way we will take the appropriate action to minimise your liability and obtain and backdated savings. Put simply, we do the hard work to minimise your liability.
If you have vacant/unused areas within of your property, vacant buildings or have buildings works underway then there are other opportunities to make savings.
Can you reduce your business rates liability due to Covid? The Valuation Office Agency have accepted that Covid is a Material Change in Circumstances but impact on Rateable Values is still under discussion and negotiations could take some time. It is essential to take action whilst there are still restrictions from Covid in order to benefit from any success agreed in the future. Time is of the essence so please get in touch ASAP.