non domestic rates empty property relief, also known as business rates relief, is a governmental scheme designed to provide relief for businesses that have unoccupied properties. In the United Kingdom, businesses are required to pay business rates on non-domestic properties, including shops, offices, factories, and warehouses. However, if a property is empty or unoccupied, businesses may be eligible for empty property relief, which can help alleviate the financial burden during periods of vacancy.
Empty property relief is intended to provide an incentive for property owners to bring their empty properties back into use, thus benefiting the local economy. By offering relief on business rates for empty properties, the government aims to encourage property owners to make improvements to vacant properties, attract new tenants, and ultimately stimulate economic growth in the area.
There are several types of empty property relief available to businesses in the UK. The most common form is a 100% relief for three months from the date the property becomes vacant. This means that businesses do not have to pay any business rates on the empty property for the first three months of vacancy. After the initial three-month period, the property owner may be eligible for a further three months of 50% relief, followed by 10% relief for the remaining period of vacancy.
In addition to the standard empty property relief, there are also specific reliefs available for certain types of properties or circumstances. For example, listed buildings may be eligible for additional relief, as well as properties in enterprise zones or areas undergoing regeneration. It is important for property owners to check with their local council to determine their eligibility for any additional relief that may be available to them.
It is worth noting that empty property relief is not automatic, and property owners must apply for the relief through their local council. In order to qualify for empty property relief, property owners must provide evidence that the property is genuinely unoccupied and that they are actively seeking to bring the property back into use. This may include providing details of marketing efforts to attract new tenants, plans for refurbishment, or evidence of attempts to sell the property.
While empty property relief can provide much-needed financial support for businesses with vacant properties, it is important for property owners to be aware of the rules and regulations surrounding the scheme. For example, some properties may be exempt from empty property relief, such as properties that are unoccupied due to legal action, properties that are exempt from business rates altogether, or properties that are being used for storage or as a buy-to-let investment.
In some cases, property owners may be required to pay business rates on empty properties even if they are not eligible for empty property relief. For example, if a property is in a state of disrepair or is unable to be let due to structural issues, the local council may deem the property as unoccupied and therefore liable for business rates. Property owners should seek advice from their local council or a professional advisor if they are unsure of their obligations regarding empty property relief.
In conclusion, non domestic rates empty property relief is a valuable scheme that can provide much-needed financial support for businesses with vacant properties. By offering relief on business rates for empty properties, the government aims to incentivize property owners to bring their empty properties back into use, stimulate economic growth, and benefit the local community. It is important for property owners to be aware of the rules and regulations surrounding empty property relief, as well as their eligibility for the scheme. By understanding the benefits and requirements of empty property relief, businesses can make informed decisions about their vacant properties and take advantage of the relief available to them.