The Government has now confirmed that it will review the administration of rates in England, and the ALMR has repeated its call for a fundamental review of rates to create a fairer deal for the licensed hospitality sector.
A review of business rates was revealed in the Chancellor’s Autumn Statement following pressure from the ALMR and other trade bodies, and the Treasury has now confirmed it will review the administration of business rates by the Valuation Office Agency and local authorities, including: billing and collection of rates, application of reliefs, and improvements in communications and transparency.
The Treasury will also consider the frequency of revaluations to enable tax assessments to be based upon up-to-date property values and changes to valuation methods.
Commenting on the announcement, ALMR Strategic Affairs Director, Kate Nicholls said:
“We are pleased to see the Government addressing the issue of business rates, particularly the issue of frequency of revaluations, but much more needs to be done to ease the burden on the sector. Currently, business rates are based on 2008 rental values and the review must ensure a greater degree of flexibility in the calculation of rates.
“The Chancellor’s decision to introduce rates relief for retailers and the capping of rates increases in his Autumn Statement was a welcome one, but more action is needed to create level playing field in which the licensed hospitality sector can fairly operate.
“The UK currently has one of the highest commercial property taxes in the EU and The ALMR will be actively campaigning on this issue to ensure a fairer deal for businesses within the licensed hospitality sector.”
For a full copy of the Government’s terms of reference click here