You could qualify for retail discount if your business is used for retail

The Government announced a new 2 year retail discount scheme for 2019/20 and 2020/21. Relief is available for all occupied properties being used for retail purposes with a rateable value under £51,000.

On the 27 January 2020, the Government announced an increase from 1 April 2020 in the amount of relief awarded from one third to 50% after all mandatory and discretionary reliefs have been applied. This was updated to 100% for qualifying businesses with rateable values below £51,000.

The Chancellor made an announcement of an emergency rescue package following coronavirus restrictions on the 17 March 2020. This means that all businesses in the retail, hospitality and leisure sectors will pay no business rates for 2020/21, regardless of rateable value.

Which properties will benefit from the relief?

Examples of the types of properties that will be entitled to the relief are listed below.

We are identifying all businesses that will qualify for the revised level of relief.  The amended demand notices will be sent out shortly. You do not need to contact us to claim this.

Properties that will benefit from the relief will be occupied hereditaments that are wholly or mainly being used:

a. as shops, restaurants, cafes, drinking establishments, cinemas and live music venues,

b. for assembly and leisure; or

c. as hotels, guest & boarding premises and self-catering accommodation.

  • Art galleries (where art is for sale/hire)
  • Bars
  • Car hire
  • Car and caravan show rooms
  • Caravan parks and sites
  • Charity shops
  • Cinemas
  • Clubhouses, clubs and institutions
  • Coffee shops
  • Dry cleaners
  • Funeral directors
  • Furnishing shops/ display rooms (such as: carpet shops, double glazing, garage doors)
  • Garden centres
  • Gyms
  • Hair and beauty services (such as: hair dressers, nail bars, beauty salons, tanning shops, etc)
  • Holiday homes
  • Hotels, Guest and Boarding Houses
  • Launderettes
  • Live music venues
  • Markets
  • Museums and art galleries
  • Nightclubs
  • Opticians
  • PC/TV/domestic appliance repair
  • Petrol stations
  • Photo processing
  • Post offices
  • Public halls
  • Pubs
  • Restaurants
  • Sandwich shops
  • Second-hand car lots
  • Shoe repairs/key cutting
  • Shops (such as: florists, bakers, butchers, grocers, greengrocers, jewellers, stationers, off licences, chemists, newsagents, hardware stores, supermarkets, etc).
  • Sport and leisure facilities
  • Sports grounds and clubs
  • Stately homes and historic houses
  • Takeaways
  • Theatres
  • Ticket offices e.g. for theatre
  • Tool hire
  • Tourist attractions
  • Travel agents

A further announcement has been made on the 25 March 2020 to extend the retail discount to include the following properties that have closed as a result of Covid-19:

  • Betting shops
  • Bingo halls
  • Casino’s and gambling clubs
  • Estate agents
  • Lettings agencies

Child Care Providers

Central Government has also announced that in light of the school closures and to support nurseries at this time there will now be a 100% business rates discount for Non local Authority run Care Providers for one year.

This means that non-local authority providers of childcare will pay no business rates in 2020/21 from 1 April.

This discount has now been applied to all eligible properties and revised bills showing no charge for the 2020/21 financial year have been issued.

Businesses that are not entitled to the relief

The list below sets out the types of uses that the Government considers do not qualify for this relief:

  • Financial services (e.g. banks, building societies, cash points, bureaux de change, payday lenders, pawn brokers).
  • Medical services (e.g. vets, dentists, doctors, osteopaths, chiropractors).
  • Other services (e.g. employment agencies).
  • Post office sorting offices.
  • Professional services (e.g. solicitors, accountants, insurance agents/ financial advisers, tutors).

NNDC have now issued around 1596 revised bills to all business eligible for the extended retail discount, now showing no charge for the 2020/21 financial year along with a letter explaining the changes.