The High Court has found that an empty rates mitigation scheme involving intermittent occupation of a building complex that was otherwise vacant was an effective and legal strategy to reduce empty rate liabilities. The decision is the latest in a long line of cases disputing empty rates mitigation schemes, and will be greeted with some relief by owners of empty properties. The judgment also sets out helpful guidance on “occupation” for rating purposes, and a protocol for resolving disputes about rateable occupation. ...Read More

The Upper Tribunal (Lands Chamber) has struck out an appeal made by a ratepayer against the rating assessment of its property, on the basis that the appeal was made on the same grounds as a previous appeal that had already been determined by the Valuation Tribunal for England, and was therefore invalid. Ratepayers seeking to appeal against the assessment of a property need to be aware of the “one bite of the cherry” rule. ...Read More

The High Court has determined that leases put in place for an empty rates mitigation scheme were “sham” transactions and, as a consequence, the rates mitigation scheme was ineffective and the owner of the building was liable for empty rates. The Court dismissed an appeal by the ratepayer against a ruling by the Magistrates’ Court in Leeds that the transactions were shams. This is the latest in a now lengthy series of legal challenges to rates mitigation schemes. ...Read More

The Government has announced that it will introduce legislation to “rule out” business rates appeals made seeking reductions in assessment because of any “material change of circumstances” resulting from the COVID-19 pandemic. Instead, an additional £1.5 billion of support will be made available to businesses affected by the pandemic that have not, so far, been eligible for business rates relief. The additional relief will be made available through local authorities, on application by affected ratepayers. Applications will commence only once the legislation to suppress appeals is in place. ...Read More

In his 2021 Budget, the Chancellor has announced a limited extension to business rates holiday that has been in place since 1 April 2020. Qualifying retail, hospitality and leisure, properties will continue to receive 100% rates relief for the period April to June 2021. From June 2021, relief will continue at 66% for the rest of the 2021-22 rate year, but will be capped at £2 million per business for properties that were required to be closed on 5 January 2021, or £105,000 per business for other eligible properties. ...Read More