Non domestic rates, commonly known as business rates, are taxes that businesses in the UK must pay on the properties they occupy. However, when a property is left empty, businesses are still liable to pay these rates unless they qualify for empty property relief. This relief is intended to provide some financial assistance to businesses that are struggling with vacant properties, while also encouraging property owners to bring their empty buildings back into use.
Empty property relief is available for non domestic properties, such as commercial shops, offices, factories, warehouses, and other types of commercial buildings. The relief can vary depending on the circumstances of the property and the local government’s specific policies. In some cases, the relief may be granted automatically, while in others, the property owner may need to apply for it.
One of the main types of empty property relief is known as the “three month exemption”. This means that the property owner does not have to pay business rates on a property that has been empty for less than three months. This is designed to give property owners a grace period to find new tenants or make necessary repairs to the property to bring it back into use. After the three month period, the property owner will be liable to pay the full business rates unless they qualify for another type of relief.
Another type of empty property relief is the “six month exemption”. This provides a longer period of relief for properties that have been empty for between three and six months. Again, this is meant to give property owners more time to find tenants or make improvements to the property before having to pay the full business rates.
There are also other types of empty property relief available, such as charitable relief for properties owned by charities, or industrial relief for certain types of industrial buildings. Each local government sets its own policies for empty property relief, so it’s important for property owners to check with their local council to see what relief they may be eligible for.
It’s worth noting that empty property relief does not apply to properties that are exempt from business rates altogether, such as agricultural buildings, listed buildings, or properties that are being used for certain types of community or social purposes. Property owners should also be aware that the relief may be subject to certain conditions, such as keeping the property secure and in good condition while it is empty.
Overall, non domestic rates empty property relief is an important tool for businesses that are struggling with vacant properties. By providing some financial assistance during periods of vacancy, the relief can help businesses avoid the financial burden of paying full business rates on empty buildings. At the same time, the relief can also help to incentivize property owners to bring their vacant properties back into use, benefiting both the business owner and the community as a whole.
In conclusion, non domestic rates empty property relief is a valuable resource for businesses that are dealing with vacant properties. By providing temporary relief from business rates, property owners can have some breathing room to find new tenants or make necessary improvements to their properties. It’s important for property owners to understand the different types of relief available and to work with their local council to take advantage of these opportunities. With the right approach, empty property relief can help businesses overcome the challenges of vacancy and bring new life to their properties.