Business Rate changes - 2017 Spring Budget
In addition to the £3.6 billion transitional relief which was announced in November 2016, the government will provide £435 million of further support for businesses facing significant increases in bills from the English business rates system. This includes:
- support for small businesses losing Small Business Rate Relief to limit increases in their bills to the greater of £600 or the real terms transitional relief cap for small businesses each year. We are waiting for a software upgrade from our suppliers which will allow us to implement this change. We are currently undertaking work to identify those ratepayers affected.
- providing English local authorities with funding to support £300 million of discretionary relief, to allow them to provide support to individual hardship cases in their local area. The government released a consultation to determine the conditions of this scheme which closed on 7th April. Government have not provided details of the response to this consultation but have advised Council's to continue developing their scheme. To meet the government's criteria for grant funding, Council's must consult with major preceptors on their scheme. We opened a consultation to businesses and preceptors regarding the criteria for the scheme which closed on 17th July. The results can be seen here. Further information on the award of the relief will be given here within the next couple of weeks.
- The government will also introduce a £1,000 business rate discount for public houses with a rateable value of up to £100,000, subject to state aid limits, for one year from 1 April 2017. Government plans to publish a consultation on the operation of the relief scheme for pubs. All government consultations are on hold due to the purdah period for the General Election. An update will be provided when that consultation is available. We are currently undertaking work to identify those ratepayers affected.
For full details on the Chancellor's Spring Budget please click here (see section 4.5).