This page sets out the matters that are included in a demand notice for non-domestic rates, including the explanatory notes that
must be provided in either the terms prescribed by that Schedule or substantially similar terms. This new explanatory notes reflect recent changes to non-domestic rating announced in the Autumn Statement (see Autumn Statement 2014). A printed copy of this document can be requested.
The Regulations, which make the changes, were laid in Parliament on 3 March and will come into force on 1 April 2016:
The Council Tax and Non-Domestic Rating (Demand Notices) (England) (Amendment) Regulations 2015
Part 1 Explanatory Notes
Non-Domestic Rates, or business rates, collected by local authorities are the way that those who occupy non-domestic property contribute towards the cost of local services. Under the business rates retention arrangements introduced from 1st April 2013, authorities keep a proportion of the business rates paid locally. This provides a direct financial incentive for authorities to work with local businesses to create a favourable local environment for growth since authorities will benefit from growth in business rates revenues. The money, together with revenue from council tax payers, revenue support grant provided by the Government and certain other sums, is used to pay for the services provided by local authorities in your area. Further information about the business rates system, including transitional and other reliefs, may be obtained at www.gov.uk.
Apart from properties that are exempt from business rates, each non-domestic property has a rateable value which is set by the valuation officers of the Valuation Office Agency (VOA), an agency of Her Majesty's Revenue and Customs. They draw up and maintain a full list of all rateable values, available at www.gov.uk/government/organisations/valuation-office-agency.
The rateable value of your property is shown on the front of this bill. This broadly represents the yearly rent the property could have been let for on the open market on a particular date. For the revaluation that came into effect on 1st April 2010, this date was set as 1st April 2008.
The valuation officer may alter the value if circumstances change. The ratepayer (and certain others who have an interest in the property) can appeal against the value shown in the list if they believe it is wrong. The Government has announced there will be limits on the backdating of changes to rating assessments with effect from 1st April 2015. If the Valuation Office Agency receive your appeal on or after 1st April 2015 then the earliest they can back date any changes is that date. Your billing authority can only back-date any business rates rebate to that same date. You will continue to have your full legal rights to appeal your rating assessment.
The Valuation Office Agency will continue to fulfil their legal obligations to alter rating assessments if new information comes to light indicating the valuation is inaccurate. Any alterations they make on or after 1st April 2016 can only be backdated to 1st April 2015.
Further information about the grounds on which appeals may be made and the process for doing so can be found on the www.gov.uk website or obtained from your local valuation office.
National Non-Domestic Rating Multiplier
The Council works out the business rates bill by multiplying the rateable value of the property by the appropriate multiplier. 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. Except in the City of London where special arrangements apply, the Government sets the multipliers for each financial year for the whole of England according to formulae set by legislation.
The current multipliers are shown on the front of this bill.
Business Rates Instalments
Payment of business rate bills is automatically set on a 10-monthly cycle. In addition to the statutory instalment period of up to 10 months, Brentwood allows for payment to be made over 12 instalments, (starting April, ending March of the next calendar year), 1annual instalment (due on 1 May) and 2 instalments taken on 1 May and 1 September. Please contact us straight away if you wish to change your instalment plan.
This is the easiest and simplest way to pay.
Monthly Direct Debits (including the 12 monthly payment option) can be set up for the 1st, 7th, 14th, 21st or 28th of each month. To pay by direct debit you can complete the Business Rates Direct Debit Form. Please have your Non Domestic Rates account number (printed on the front of your bill) and bank details ready.
Online banking / direct payments
Depending on the method of payment used, payments should appear in the Council's bank account by the next day. To avoid reminders, you should allow up to 5 days for payments to be processed. To pay quote your account number as the reference and send payment to:
Please use the following account:
Bank: Lloyds Bank
Account Holder: Brentwood Borough Council
Account number : 01731291
Sort code: 30-91-17
Remember - your NNDR account number is the number printed on the front of your bill.
Other payment methods are available.
All rateable values are reassessed at a general revaluation to ensure bills paid by any one ratepayer reflect changes over time in the value of their property relative to others. This helps maintain fairness in the rating system by updating valuations in line with changes in the market. The current rating list is based on the 2010 revaluation. The Government has confirmed that the next revaluation will take place in 2017 based on rental values at 1st April 2015. More information on revaluation 2017 can be found at: www.gov.uk/government/organisations/valuation-office-agency.
In the year of revaluation the multipliers are rebased to account for overall changes to total rateable value and to ensure that the revaluation does not raise extra money for Government. Similarly, the change in the revaluation date to 2017 has no effect on the total amount of revenue raised from business rates.
Unoccupied Property Rating
Business rates will not be payable in the first three months that a property is empty. This is extended to six months in the case of certain industrial properties. After this period rates are payable in full unless the unoccupied property rate has been reduced by the Government by order. In most cases the unoccupied property rate is zero for properties owned by charities and community amateur sports clubs. In addition, there are a number of exemptions from the unoccupied property rate. If the unoccupied property rate for the financial year has been reduced by order, it will be shown on the front of this bill.
The Government has introduced a temporary measure for unoccupied new builds from October 2013. Unoccupied new builds will be exempt from unoccupied property rates for up to 18 months (up to state aid limits) where the property comes on to the list between 1st October 2013 and 30th September 2016. The 18 month period includes the initial 3 or 6 month exemption and so properties may, if unoccupied, be exempt from non-domestic rates for up to an extra 15 or 12 months.
Partly Occupied Property Relief
A ratepayer is liable for the full non-domestic rate whether a property is wholly occupied or only partly occupied. Where a property is partly occupied for a short time, Brentwood Borough Council has discretion in certain cases to award relief in respect of the unoccupied part.
Small Business Rate Relief
Ratepayers who are not entitled to another mandatory relief or are liable for unoccupied property rates and occupy a property with a rateable value which does not exceed £17,999 outside London or £25,499 in London will have their bill calculated using the lower small business non-domestic rating multiplier, rather than the national non-domestic rating multiplier.
In addition, generally, if the sole or main property is shown on the rating list with a rateable value which does not exceed £12,000, the ratepayer will receive a percentage reduction in their rates bill for this property of up to a maximum of 50% for a property with a rateable value of not more than £6,000.
The Government has announced, in the Autumn Statement 2014, that the doubling of the usual level of relief - to a maximum of 100% - will continue for a further year, until 31st March 2017.
Generally, this percentage reduction (relief) is only available to ratepayers who occupy either-
(a) one property, or
(b) one main property and other additional properties providing those additional properties each have a rateable value which does not exceed £2,599.
The rateable value of the property mentioned in (a), or the aggregate rateable value of all the properties mentioned in (b), must not exceed £17,999 on each day for which relief is being sought. If the rateable value, or aggregate rateable value, increases above those levels, relief will cease from the day of the increase.
The Government has introduced additional support to small businesses. For those businesses that take on an additional property which would normally have meant the loss of small business rate relief, the Government has confirmed that they will be allowed to keep that relief for a period of 12 months.
An application for Small Business Rate Relief is not required. Where a ratepayer meets the eligibility criteria and has not received the relief they should contact the Business Rates Billing Team on 01277 312 500. We will ask you to confirm your eligibility, including whether you have any state aid that exceeds de-minimus levels. Provided the ratepayer continues to satisfy the conditions for relief which apply at the relevant time as regards the property and the ratepayer, they will automatically continue to receive relief in each new valuation period.
Certain changes in circumstances will need to be notified to the local authority by a ratepayer who is in receipt of relief (other changes will be picked up by the local authority). The changes which should be notified are:
(a) the ratepayer taking up occupation of an additional property, and
(b) an increase in the rateable value of a property occupied by the ratepayer in an area other than the area of the local authority which granted the relief.
Charity and Community Amateur Sports Club Relief
Charities and registered Community Amateur Sports Clubs are entitled to 80% relief where the property is occupied by the charity or the club, and is wholly or mainly used for the charitable purposes of the charity (or of that and other charities), or for the purposes of the club (or of that and other clubs).
Brentwood Borough Council has discretion to give further relief on the remaining bill. Full details can be found on our discretionary rate relief page.
Local authorities have a general power to grant discretionary local discounts. Brentwood has its own discretionary rate relief policy, awards are prioritised where the business or organisation:
a) Meets the needs of the local community; and either provides a valuable service to the Borough; or
b) Provides access to facilities which indirectly relieves the Council of the need to do so
c) Demonstrates how they help support the Council's priorities in the Corporate Plan.
The award of such discounts is considered likely to amount to state aid. However it will be state aid compliant where it is provided in accordance with the De Minimis Regulations EC 1407/2013. The De Minimis Regulations allow an undertaking to receive up to €200,000 'de minimis' aid over a rolling three year period. If you are receiving, or have received, any 'de minimis' aid granted during the current or two previous financial years (from any source), you should inform the local authority immediately with details of the aid received.
The Council has discretion to give hardship relief in specific circumstances.
Ratepayers do not have to be represented in discussions about their rateable value or their rates bill. Appeals against rateable values can be made free of charge. However, ratepayers who do wish to be represented should be aware that members of the Royal Institution of Chartered Surveyors (RICS - website www.rics.org) and the Institute of Revenues, Rating and Valuation (IRRV - website www.irrv.net) are qualified and are regulated by rules of professional conduct designed to protect the public from misconduct. Before you employ a rating adviser, you should check that they have the necessary knowledge and expertise, as well as appropriate indemnity insurance. Take great care and, if necessary, seek further ad-vice before entering into any contract.
Information Supplied with Demand Notices
Information relating to the relevant and previous financial years in regard to the gross expenditure of the Council is available from our Council Budgets and Spending page.
Please note that this information here and the information supplied on your bill forms your demand notice for the purposes of National Non Domestic Rates. A paper copy of this document can be made available should you require.