Business rates transitional arrangements

Business rates transitional arrangements 

As property values normally change a good deal between each revaluation, transitional arrangements have been introduced to help phase in the effects of these changes by limiting increases to bills. To help pay for the limits on increases in bills, there also have to be limits on reductions in bills. Under the transition scheme, limits continue to apply to yearly increases and decreases until the full amount (rateable value times the appropriate multiplier) is due.

The scheme only applies to the bill based on a property at the time of the revaluation. If there are any changes to the property after 1 April 2010, transitional arrangements will not normally apply to the part of a bill that relates to any increase in rateable value due to those changes.

Further information on transitional arrangements, including examples of the calculations can be found on the websitewww.businesslink.gov.uk (see weblinks).

2010 Rating List Transitional Scheme 

For the purposes of this transitional scheme a small property is defined as one with a rateable value of less than £18000 whilst large property has a rateable value of £18000 or more

Inflation
in real terms means that the above percentages are subject to inflation. For 2010/11 this is -1.4%.

2005 Rating List Transitional Scheme 

For the purposes of this transitional scheme a small property is defined as one with a rateable value of less than £15000 whilst large property has a rateable value of £15000 or more

2000 Rating List transitional relief scheme 

For the purposes of this transitional scheme a small property is defined as one with a rateable value of less than £12000 whilst large property has a rateable value of £12000 or more.

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