As an extraordinary response to Covid-19, the Government announced a 100% business rates nursery discount on 18 March 2020.
This relief applied to hereditaments occupied by providers on Ofsted’s Early Years Register and wholly or mainly used for the provision of the Early Years Foundation Stage and which are subject to business rates in the year 2020/21. There was no rateable value limit on the relief.
At the Spring Budget on 3 March 2021, the Chancellor extended the nursery discount at 100% for the initial three months of the 2021/22 financial year, decreasing to 66% for the remainder of the year.
There will be no cash cap on the nursery discount for the first three months of the 2021/22 scheme. However, from 1 July 2021 relief will be capped at £105,000 per business