Agenda item - Business Rates - rate relief schemes

Report of the Executive Director Finance & Resources

RESOLVED: That the Committee

(i)            Approved the policy for Discretionary Rate Relief at Appendix 2.

(ii)          Approved the proposals in paragraphs 3.13 to 3.20 concerning

Revaluation Rate Relief for 2018 to 2021, summarised as follows:

· The policy from 2017-18 shall be continued for the remaining lifetime of the Revaluation Rate Relief scheme

· The qualifying Rateable Value threshold shall be reduced to £80,000 for 2018-19.

· Starting thresholds for future years shall be set at £40,000 for 2019-20 and £15,000 for 2020-21

· Officers shall be empowered to alter the thresholds incrementally during each year, or to alter the other parameters of the scheme, to maximise the use of available government funding

28.1    The Committee considered the report of the Executive Director Finance & Resources which outlined two Business Rate Relief schemes.

28.2    Councillor Mac Cafferty asked how organisations would show that they had met the criteria for social value, and how they would be assessed. The Revenues & Benefit Manager said that the proceeding policy looked at value to the community, and the new policy refocused that policy as a core principle. Officers were working on a framework to assist them when considering the social value of an organisation.

28.3    Councillor Mac Cafferty noted that charity shops were excluded, but some local ones were not part of big organisations such as Sussex Beacon and asked how those shops would be considered. The Revenues & Benefit Manager said that most organisations had a national basis, but rate relief would be given to independent charity shops if there were a benefit to the community.

28.4    Councillor Mac Cafferty referred to the Revaluation Rate Relief, and asked why there was an underspend when small businesses were struggling.  The Revenues & Benefit Manager said that the intention had been to apply the rate relief as soon as possible, but it had taken time to apply. One key thing had been the policy not to support multi-national organisations, but there were a number of groups which had only three to four sites in the UK, and it had taken time to process.

28.5    Councillor Daniel welcomed the report and that it addressed the anomaly for charities in the city, and showed how social value was now increasingly mainstream across the processes of the organisation.

28.6    RESOLVED: That the Committee -

(i)            Approved the policy for Discretionary Rate Relief at Appendix 2.

(ii)          Approved the proposals in paragraphs 3.13 to 3.20 concerning

Revaluation Rate Relief for 2018 to 2021, summarised as follows:

· The policy from 2017-18 shall be continued for the remaining lifetime of the Revaluation Rate Relief scheme

· The qualifying Rateable Value threshold shall be reduced to £80,000 for 2018-19.

· Starting thresholds for future years shall be set at £40,000 for 2019-20 and £15,000 for 2020-21

· Officers shall be empowered to alter the thresholds incrementally during each year, or to alter the other parameters of the scheme, to maximise the use of available government funding