Autumn Statement 2022: Business Rates Factsheet – GOV.UK (www.gov.uk)

Without any Fanfare, the Valuation Office have published the 2023 Rating List today, alongside the Autumn Statement 2022.

As always, at Revaluations, there are some big increases, but this time around there are some bigger than expected falls in liability, with the Government listening to pressure to remove Transitional Surcharges, allowing Ratepayers to benefit fully from falls in their Rating Assessments.

Maughan Mitchell welcome much of the detail within the Government’s Autumn Statement 2022, which provides increased support for the Retail and Leisure sectors, which are still recovering from Covid and are now struggling with increasing Energy Bills.

Maughan Mitchell’s summary of the key details within the Autumn Statement 2022 –

  • Business Rates Multipliers remaining as they are at 49.9p and 51.2p. This is a first, as the Multipliers have always changed to reflect the change in the total Rateable Value pot. Government spin, allowing them to state higher levels of support provided elsewhere!?
  • Extending and increasing retail relief from 50% to 75%. Maughan Mitchell say this has to be great news for Retailers and Leisure, although it will not go close to countering increasing Energy Costs and not hugely help larger retailers with multiple properties, due to a cap on the support.
  • The government is also protecting small businesses that, due to the revaluation, will lose their eligibility for either Small Business or Rural Rate Relief (SBRR or RRR). The Supporting Small Business (SSB) scheme will cap bill increases at £50 per month (£600 per year) over the 3 years of the 2023 list, with more benefit for small retailers. MM comment – great support for smaller businesses, who would have dropped off the edge of receiving support.
  • Downward transitional relief abolished.  Businesses who see a declining business rates bill as a result of the revaluation will benefit from the full decrease straight away. Maughan Mitchell feel this is really good news, especially for struggling retailers.
  • Upwards Transitional Relief will cap bill increases to the following percentage each year:
    Small RV (up to £20,000) – 5%
    Medium RV (£20,000 – £100,000) – 15%
    Large RV (greater than £100,000) – 30%  Some good support for smaller Assessments, but some painful increases to come for many warehouse operators and manufacturing.

Maughan Mitchell think the Government’s statement is really good news for a lot of businesses, particularly those who are struggling and broadly welcome it.

To see your new Rateable Value, visit the below link:

https://www.gov.uk/find-business-rates

Please do get in touch with Maughan Mitchell to discuss the new Rating List and your Business Rates Liability, we would be pleased to help.