As we look to the new 2023 revaluation, 5 months away, we await publication of the draft rating list.
Due at the end of November this will be the first insight for ratepayers as to what they can expect to pay over the next 3-yearly revaluation. This combined with the expected announcement of the Uniform Business Rates (UBR) multiplier, will give rate payers the actual liability that they will have to pay. The first real opportunity to budget for one of the biggest costs businesses must bear.
The UBR is usually inline with the inflation rate and with this running at 10.1% the potential increase to the rate payer is quite an unknown. Over the past two years we have seen a freeze on the increase of the UBR and it will be down to our new PM, Rishi Sunak and Chancellor, Jeremy Hunt to take charge and manage this carefully for all ratepayers. Rishi was quoted at a husting, that supporting business particularly in the retail and hospitality sectors would be ‘top of his mind’ and he was committed to extending the 50% discount in his first budget. With the potential for rates increases it will not just be these sectors that are in need of his support.
We are expecting shorter revaluation periods. Since 1990 the previously standard 5 yearly cycles are to be reduced to 3 yearly going forward. Rates are supposed to represent open market lettings and it is thought more frequent revelations will bring us closer to this. The antecedent valuation date (AVD) is always 2 years preceding the start of the revaluation so for the 2023 list the AVD is 1st April 2021, which was at the height of the pandemic so rental evidence will be scarce.
Once you know your draft list rateable value, you can contact us to help you budget and make sure you have any relief you’re entitled to and if you have any empty property, use our calculator to see what you could be saving if you are correctly mitigating your liability.