Agenda item

Councillor Roger Ramsey, Cabinet Member for Value, introduced the report

The report provided details of the Retail Relief scheme announced in the Autumn Statement based on the guidance received in February 2014 and accordingly to adopt a policy to award “Retail Relief” in accordance with the Discretionary Rate Relief powers as contained within Section 47 of the Local Government Finance Act 1988 (as amended) from 1 April 2014.

In its Autumn Statement of 5 September 2013, the Government advised that a reduction in rates payable of up to £1,000 would be available to “retail occupied” premises which had a Rateable Value of £50,000 or less

This relief was to be awarded by the Council in accordance with the Discretionary Rate Relief powers as contained within the Local Government Finance Act 1988 (as amended).

The “retail” relief awarded by the Council - if made in accordance with the Government Guidance - would be fully reimbursed.

The Policy proposed fully reflected the guidance to award relief to “occupied retail premises”, and would be awarded for the 2014/2015 and 2015/16 financial years only.

To qualify for the relief, the hereditament should be wholly or mainly being used as a shop, restaurant, cafe or drinking establishment.  In a similar way to other reliefs, this was a test on “use” rather than “occupation”, therefore, hereditaments which were occupied but not wholly or mainly used for the qualifying purpose would not qualify for the relief.

Reasons for the decision:

Awarding the relief would be in accordance with the Government’s intentions as detailed in the Autumn Statement and the DCLG Business Rates Retail Relief Guidance.

Other options considered:

None appropriate.

Cabinet agreed that:

1.            Council award “Retail Relief” of up to £1000, assessed and calculated on a daily basis in line with the Government’s base scheme as shown in the DCLG Guidance letter and applied against the net bill after all other reliefs.  The relief to be available to qualifying businesses in occupation of retail premises which had a Rateable Value of £50,000 or less in accordance with Discretionary Rate Relief powers for the financial years: 1 April 2014 to 31 March 2015 and 1 April 2015 to 31 March 2016 only;

2.            The business to qualify for the relief must be “retail” as detailed in the report;

3.            Council, through the National Non-Domestic Rate Return process, sought full reimbursement of the cost of this relief from Central Government;

4.            Cabinet noted that the detailed application of the scheme would be implemented by the Group Director, Resources under current delegated authority “To exercise the Council’s discretionary powers in relation to relief for Council Tax and commercial rates”