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Business Rates transitional relief scheme being implemented

A scheme to support local businesses particularly affected by the government’s 2017 business rate revaluation is being implemented later this year.

The agreement at Wednesday’s meeting of the Executive follows consultation about the criteria to be employed in the authority’s scheme and allows affected businesses to receive the relief as soon as practically possible - Bromley is one of the first, amongst local authorities, to agree and implement a transitional relief scheme.
 
The news follows the announcement by the Chancellor of the Exchequer earlier this spring that £300 million would be available nationally over four years to support businesses that had been affected by the largest business rate increases following the government’s 2017 revaluation of business rates.

“We are grateful to businesses and other organisations who responded to our consultation which affirmed much of our original intentions.  We are now pressing ahead to get the actual funding to the most affected businesses as soon as possible. To make this as easy as possible, we will be contacting businesses it appears might qualify so that they can then formally apply if they believe they fit the criteria.” said Councillor Graham Arthur, Executive Councillor for Resources.

The government funding that tapers down over a four year period is being allocated to local authorities in proportion to the number of most severely affected properties in individual borough areas commencing April 2017.  

The scheme is designed to mirror the criteria used by government when allocating the available “pot” between Local Authorities.  Relief is limited to all properties that have a Rateable Value of under £200k and who have suffered a loss (pre-Transitional Relief) of more than 12.5%.   It is anticipated that approximately 2,600 would receive assistance, with a 25% reduction in the additional amount to pay in the current financial year, tapering down to 0.7% in year four