Get ready for business rates revaluation

29 September 2009

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Every five years all business properties are assessed and given new rateable values based on rental values, for the purpose of calculating liability for business rates. This is called revaluation and the next one will take effect from April 2010. However, you'll be able to find out your new rate from 1 October. Read on to find out how.

Please note: This revaluation does not affect your 2009/10 bill, but it will define your bill for 2010/11

What is revaluation?

Revaluation reflects changes in the property market across the country and redistributes the same total tax liability for business rates. Revaluation does not raise extra revenue overall. Some rates bills will rise and some will fall, but legislation means that the average national bill will only change with inflation.

Transitional relief will be available for those ratepayers facing the largest increase in bills and more details on this relief will be available when the rateable values are published in October.

If you are already claiming any rate relief to which you may be entitled, such as Small Business Rate Relief, this will still be available in 2010.

Find out more about Small Business Rate Relief and the business rates deferral scheme.

How your rateable value is assessed

The Valuation Office Agency (VOA), a central government organisation employing professional chartered surveyors, is responsible for assessing your rateable value.

For most properties, such as shops, offices, warehouses and other industrial property, VOA surveyors use evidence of actual rents being paid for similar properties in the area.

For other types of property, such as pubs and other licensed premises, reference is often made to the level of ‘fair maintainable trade' that might be expected, using this as the basis for the assessment of rateable value.

When will I know my rates bill for 2010/2011?

The new draft rateable values will be sent to you in October 2009. They will also be available online at www.voa.gov.uk/2010. Your local authority calculates your rates bill by combining the rateable value, the multiplier set by the Government and any relief you are due.

The VOA will provide an online business rates indicator from 1 October to help you forecast your 2010/11 rates bill by using your new rateable value.

How can you make sure your rateable value is correct?

When you receive the details of your new rateable value, you have an opportunity to check them and, if you think any of the facts are incorrect, you should talk to the VOA or your local authority.

FREE business rates appeal

As a member of the FPB, you are entitled to a FREE appraisal of your business rates. If you find you could save money, you can take advantage of our specially-negotiated 'no saving, no fee' offer. Click here to find out more or call us on 0800 130 1722.

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Get ready for business rates revaluation

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