National Non-Domestic Rates (Business Rates) Discretionary Rate Relief Policy

(Section 47 of the Local Government Finance Act 1998 as amended by Section 69 of the Localism Act 2011)

Overview

The purpose of the Supporting Small Businesses Relief Scheme is to support small businesses that as a result of the change in their rateable value at the 2017 revaluation are losing some or all of their Small Business or Rural Rate Relief and as a direct result are facing large increases in their bills.

To support these ratepayers this relief will ensure that the increase per year in their bills is limited to the greater of:

• a percentage increase per annum of 5%, 7.5%, 10%, 15% and 15% from 2017/18 to 2021/22 (all plus inflation). Unlike the transitional relief scheme, for the first year of the scheme the percentage increase is taken against the bill for 31 March 2017 after small business rate relief or rural rate relief

or

•  a cash value of £600 per year (£50 per month)

Eligibility

Eligibility to relief under this section will only be considered after determination of any other forms of rate relief to which the applicant may be eligible.

Relief may be granted where:

• there is an increase of the 2016-17 chargeable amount of £600.00 or more
• the property is both occupied and trading
• the award of relief complies with EU law on State Aid (less than €200k awarded over 3 years)

Ratepayers who are eligible for Supporting Small Businesses Relief and whose 2017 rateable values are £51,000 or more will not be liable to pay the supplement (1.3p) to fund Small Business Rate Relief while they are eligible for the Supporting Small Businesses Relief.

Applications

This relief will automatically be awarded to eligible ratepayers. However, the council will issue a state aid declaration, and this must be signed by the ratepayer and returned to Chorley Council within 14 days of receipt to avoid cancellation of the relief.

Duration

Relief may be awarded from 1 April 2017 until 31 March 2022.

Ratepayers will remain in the Supporting Small Businesses Relief scheme for either 5 years or until they reach the bill they would have paid without the scheme.

A change of ratepayer will not affect eligibility for the Supporting Small Businesses Relief Scheme but eligibility will be lost if the property falls vacant or becomes occupied by a charity or Community Amateur Sports Club.