Business Rates

What are Business Rates?

Businesses and other occupants of non-domestic property pay business rates, which are sometimes referred to as Non-Domestic rates. The money paid directly contributes to the costs of Local Authority services such as roads, police and the fire brigade.

The income from all business rates collected is paid into a national pool administered by Central Government and it is then redistributed between Local Authorities in proportion to the number of people in their area. This means that areas with very few businesses will not be disadvantaged.

The occupier of a non-domestic property normally pays the Business Rates – usually this is the owner-occupier or leaseholder. If a property is empty, the person or company that has the right to occupy the property. In some cases empty property such as listed buildings, and those with a low rateable value are exempt from paying empty rates.

Non-domestic properties are business properties such as shops, offices, warehouses and factories, and any other property that is not classed as a domestic property. In some cases, properties may be used for both domestic and non-domestic use, in which case both Council Tax and Business Rates will be charged.

Apart from properties which are exempt from Business Rates, each non-domestic property has a rateable value. The Valuation Office Agency |set the rateable values. It draws up and maintains a full list of all rateable values.

Rateable values of properties can be found on the Valuation Office's Business Rates website|, where you can search for, view, compare and appeal a valuation. You can also amend your property details. This site offers basic search functionality or if required a more advanced 'Agent Mode'.

The local council works out your Business Rates bill by multiplying your rateable value by the multiplier or 'poundage', which the government sets from 1 ^st April each year for the whole of England. There is a transitional relief scheme and a Small Business Rate Relief scheme, which in some cases can affect the amount payable. Details of this scheme can be obtained from the Council.

National Non-Domestic Rating Multiplier

The local authority works out the Business Rates by multiplying the rateable value of the property by the appropriate multiplier. From 1st April 2005 there are two multipliers; the standard non-domestic rating multiplier and the small business non-domestic rating multiplier. The former is higher to pay for small business rate relief. The Government sets the multipliers fro each financial year for the whole of England. The Government normally changes both multipliers every year in line with inflation. By law, the multipliers cannot go up by more than the rate of inflation apart from some minor adjustments to counteract losses from appeals and, in relation to the standard multiplier, to pay for small business rate relief. In the year of a revaluation it is set at a level which will keep the total amount raised in rates after the revaluation the same as before, plus inflation for that year. The yearly multipliers from April 2010 are shown below.

 

2012/2013 Rating Multiplier

• Standard non-domestic rating multiplier 45.8 pence
• Small Business non-domestic rating multiplier 45.0 pence

2011/2012 Rating Multiplier

• Standard non-domestic rating multiplier 43.3 pence
• Small Business non-domestic rating multiplier 42.6 pence

2010/2011 Rating Multiplier

• Standard non-domestic rating multiplier 41.4 pence
• Small Business non-domestic rating multiplier 40.7 pence
   

Contact Details

 Revenue and Benefits

           Town Hall

           St Stephens Road

           Bournemouth BH2 6EB

 01202 451571 or 451558

 revenue&benefits@bournemouth.gov.uk| *

 

*Please note that to be fair to all, email communication is treated the same as other correspondence and consequently you may not receive an immediate response. You will however receive an acknowledgement of receipt immediately.