Business Rates Reductions

Retail, Leisure and Hospitality Rate Relief Wales - 2023/24

The Welsh Government has announced details of a new temporary business rate relief scheme under which retail, leisure and hospitality properties will benefit from April 2023. The 2023/24 scheme offers a discount of 75% on non-domestic rate bills for eligible occupied properties but the relief is subject to a £110,000 cap on the amount each business can claim across properties occupied by the same business in Wales.

The relief will be provided as a subsidy by way of Minimal Financial Assistance (MFA). The same business must not claim more than £315,000 in total of MFA over three years (including 2023-24). Previous iterations of the RLHRR scheme in Wales were not provided as a subsidy and should not be counted towards the MFA limit. The gross value of relief claimed by the same business must, therefore, not exceed £110,000 in Wales for 2023-24 (to comply with the terms of this scheme) or £315,000 from 2021-22 to 2023-24 inclusive (to comply with subsidy control requirements). Businesses claiming the relief must declare that the amount being claimed does not exceed those limits before the relief can be awarded.

For more details, please read the Welsh Government’s Guidance on Non-Domestic Rates – Retail, Leisure and Hospitality Rates Relief in Wales – 2023-24 | Business Wales (gov.wales).

All eligible businesses must complete an online declaration form which will be available HERE shortly. 

A new permanent scheme came into force on 1 April 2018. The Welsh Government provides non-domestic rates relief to eligible small businesses.

• eligible business premises with a rateable value of up to £6,000 will receive 100% relief; and
• those with a rateable value between £6,001 and £12,000 will receive relief on a tapered basis from 100% to zero

The following types of business will continue to get relief as follows:

Registered Childcare Premises

The small business rates relief scheme for the childcare providers will be enhanced to provide 100% relief to all registered childcare providers in Wales, this higher level of relief will start on 1 April 2019, it will be in place for three years to 31 March 2022, during which time it will be evaluated to assess its effect.

Post Offices

• Post offices with a rateable value up to £9,000 receive 100% relief
• Post offices with a rateable value between £9,001 and £12,000 receive 50% relief

Multiple Occupation Limit

Where a ratepayer is liable for more than two properties on a single local non-domestic rating list (“local list”), and those properties meet only the rateable value conditions, the ratepayer will only receive relief for a maximum of two such properties.

Empty or Partly occupied properties/Exempt Properties

RATES RELIEF FOR EMPTY PROPERTIES

Empty business properties are exempt from paying business rates for 3 months after the property becomes vacant. There are additional exemptions for certain types of properties under a set rateable value. These include:

• industrial premises, such as warehouses, which are exempt for a further 3 months
• listed buildings which are exempt until they become occupied again
• buildings with a rateable value under £2,600 which are exempt until they become occupied again
• properties owned by charities, which are exempt if the property's next use is likely to be wholly or mainly for charitable purposes
• community amateur sports club buildings which are exempt if their next use is likely to be wholly or mainly for a sports club
• a business whose owner is a company which is subject to a winding-up order made under the Insolvency Act 1986 or which is being wound up voluntarily under that Act
• a business whose owner is a company in administration within the meaning of paragraph 1 of Schedule B1 to the Insolvency Act 1986 or is subject to an administration order made under the former administration provisions within the meaning of article 3 of the Enterprise Act 2002 (Commencement No. 4 and Transitional Provisions and Savings) Order 2003.
• a business whose owner is entitled to possession only in his or her capacity as the personal representative of a deceased person.

 After the exemption period ends, you will be liable for the full business rate bill.

You should notify your local authority when your property becomes vacant and also when it becomes re-occupied.

RATE RELIEF FOR PART OCCUPIED PROPERTIES (SECTION 44A)

Where it appears to the authority that part of a property is unoccupied and will remain so for a short period, then the authority can ask the Valuation Office for an apportionment of the rateable value and therefore charge rates on the occupied part. It should be noted that the unoccupied part may still be liable to an empty rate charge.

If you require any further informaiton please do not hesitate to contact the Business Rate Section on 01495 355212

Further information

For further information please contact The Business Rates Section

Telephone Number: 01495 355212
Address: Revenues Section, The General Offices, Steelworks Road, Ebbw Vale, NP23 6DN.  
Email Address: nndr@blaenau-gwent.gov.uk