Business rates reductions and exemptions
You could be entitled to business rate relief, a reduction, discount or even exemption.
Small business rate relief
You can get small business rate relief if:
- You occupy only one property.
- Your property's rateable value is less than £15,000.
If your property's rateable value is £12,000 or below your bill will be reduced by 100%.
If your property's rateable value is between £12,001 and £14,999 your bill will be reduced on a sliding scale. Please see the following information to see how much Business Rates you would need to pay.
If you occupy more than one property you can still get Small Business Rate Relief on your main property if the rateable value of each of your other properties is less than £2,900, and the total rateable value of all your properties is less than £20,000.
If you are getting Small Business Rate Relief and start to occupy a second property that would otherwise mean that you did not qualify for Small Business Rate Relief, for example the second property is over £2,900 rateable value, or the two properties are over £20,000 when added together, you will keep getting any existing relief for one year from the date you occupied the second property.
If you are awarded Small Business Rate Relief and your circumstances change, for example you vacate the property or you start to occupy a second property, please inform us immediately.
Please note that any appeals against the rateable value of a property are not dealt with by the council but by the Valuation Office Agency. They can be contacted on 03000 501501 or by visiting the Valuation Office Agency website (opens in a new window)
Unoccupied property rating
Once a property becomes empty, the first three months are exempt from rates (six months in the case of an empty industrial property). After this you will have to pay the full rates.
There are certain types of empty property where you do not have to pay rates, even after the three (or six) month period expires. Examples include:
- Properties with a rateable value under £2,900 (from April 1, 2017).
- Listed buildings.
- Those formerly occupied by companies in administration or a bankrupt person.
- Properties owned by charities or community amateur sports clubs.
- Those where the owner is the personal representative of a deceased person.
Partly occupied property relief - Section 44(a) Relief
A ratepayer is liable for the full non-domestic rate whether the property is fully or only partly used. Where a property is partly occupied for a short time, in certain circumstances, the Council can apply to the Valuation Office Agency to award a temporary reduction for the part that is not in use.
This relief is known as Section 44(a) and can only be awarded for a maximum of 3 months, or 6 months in the case of industrial properties.
If you believe that you may be entitled to Section 44(a) relief, please complete and return the Section 44(a) application form.
When the form has been received, we will arrange for the Property Inspector to visit the premises to decide if there is an entitlement for Section 44(a) relief.
If there is an entitlement to the relief, a letter will be sent to the Valuation Office requesting Section 44(a) relief be awarded on the property. The Valuation Office will then send the Council a separate rateable value for both the occupied and unoccupied areas of the property. This will allow a calculation to be made on the amount of relief entitlement.
When the relief has been calculated, a revised bill will be issued.
Whilst an application is being processed, the current rates are due and payable
We have discretion to give relief in exceptional circumstances.
Any award has to be shown to be in the interest of local council taxpayers, as we must bear the cost of funding this relief.
The relief will normally be granted as a percentage of the rates payable for a specific period, usually the rating year in which the application is made. We have limited the relief to 50% of the net rate liability.
An applicant who is granted hardship relief is entitled to re-apply in subsequent years. However, we may require evidence from an accountant or professional adviser regarding the long-term viability of the business.
To qualify for hardship relief, the applicant must be liable to pay National Non-Domestic Rates to Mansfield District Council. We must be satisfied that:
- The ratepayer would sustain hardship if we failed to grant hardship relief.
- It is reasonable to grant hardship relief having regard to the interest of Council Tax payers.
It is unlikely that relief would be granted for an empty property or where there is little expectation of economic survival.
Charity and Registered Community Amateur Sports Club (CASC) relief
Charities and registered community amateur sports clubs are entitled to a maximum of 80% mandatory relief from business rates on any non-domestic property that is either wholly or mainly used for charitable purposes (including most charity shops) or as a Registered Community Amateur Sports Club.
We have discretion to give further relief on the remaining bill.
If your organisation is not a registered charity, why not contact the Charity Commission (opens in a new window).
Rate relief for businesses in rural areas
Certain types of businesses in rural villages, with a population below 3,000, may qualify for rate relief of 50%.
Businesses that qualify for this relief are:
- the only general store, the only post office or a food shop (rateable value of less than £8,500), or
- the only public house or the only petrol station in the village (rateable value of less than £12,500).
The following areas are treated as rural settlements:
- Warsop Vale
- Meden Vale
- Church Warsop
- Spion Kop
Non-profit making organisation relief
We have discretion to give relief to some non-profit making organisations.
Local Discount - Section 69 Relief
The Council is allowed to grant discretionary rate relief, as a local discount, as a means to encourage economic growth and target locally focused initiatives.
The relief may be granted where it is in the interests of local Council Taxpayers to do so.
For further information please see the specific policy in the downloads section
Ratepayers do not need representation when making an appeal over a property's rateable value or a rate bill.
Appeals can be made free of charge.
However, ratepayers who do want qualified representation should note members of the Royal Institution of Chartered Surveyors (opens in a new window) and the Institute of Revenues Rating and Valuation (opens in a new window) are regulated by rules of professional conduct designed to protect the public from misconduct.
Before you employ a rating adviser, you should check that they have the necessary knowledge and expertise, as well as appropriate indemnity insurance. If necessary, seek further advice before entering into any contract.
2017 Budget Announcement Reliefs
Supporting Small Business Relief
As part of the March 2017 budget, the Government announced that it will provide Business Rates relief for businesses who have lost Small Business Rates or Rural Rate Relief following the 2017 property revaluation. The relief would limit any increase in the ratepayer's 2017/18 bill to £600 more than they paid in 2016/17. This relief is awarded automatically and amended bills will be issued to qualifying ratepayers. Any relief awarded is subject to state aid limitations.
At the Spring Budget, the Government also announced a relief scheme for pubs to apply during 2017/18. This relief is a 'one off' amount of £1000 for 2017/18 only and applies to all pubs with a rateable value of less than £100,000. Eligible pubs should:
- be open to the general public
- allow free entry other than when occasional entertainment is provided
- allow drinking without requiring food to be consumed
- permit drinks to be purchased at a bar.
Any relief awarded is subject to state aid limitations. If you think you may qualify for this relief and have not received an amended bill please submit an application using the form on the right.
Local Discretionary Relief Scheme
In the Spring Budget 2017 the Chancellor announced a discretionary fund of £300 million over a four year period from 2017/18 would be made available to support those businesses that faced the steepest increases in their Business Rates bills as a result of the 2017 Revaluation.
Each billing authority in England will be provided with a share of £300 million to support their local businesses and are expected to use their share of funding to develop their own discretionary relief scheme.
Each Authority has been responsible for designing a policy in order for this funding to be distributed to local businesses. Full details of the scheme can be found in the policy document on the right.
Applications are currently being sent out to ratepayers who may qualify for this relief. If you think you may qualify for this relief and have not received an application form by 31st October 2017, please submit an application using the form on the right. Any relief awarded is subject to state aid limitations.
Further information on State Aid law can be found at https://www.gov.uk/state-aid (opens in a new window)