Expanded Retail Discount
In response to COVID19, the Government announced further changes in the Spring Statement. On 11, 23 and 25 March 2020, they:
- increased the discount to 100% of the bill for the financial year 2020/21
- expanded the scheme to the leisure and hospitality sectors
- removed the rateable value limit
The Government held discussions with the European Commission over the impact of Covid-19 on sectors receiving the relief. Their assessment is that this round of discount is not State Aid.
If you occupy more than one property, you may be able to claim relief for each eligible property.
The last date this relief can be granted is 30 September 2021.
As announced by the government in the March budget the discount will continue at 100% for 3 months. There is no cap during this time
From 1 July 2021 to 31 March 2022, this will reduce to 66%.
This will be capped at:
- £105,000 per business, or
- £2 million per business where the business occupies a property required to close based on the law and guidance applicable on 5 January 2021
The last date this relief can be granted is 30 September 2022.
Expanded Retail Discount Eligibility
Premises used wholly or mainly by visiting members of the public for:
- Shops (such as: florists, bakers, butchers, grocers, greengrocers, jewellers, stationers, off licences, chemists, newsagents, hardware stores, supermarkets, etc)
- Charity shops
- Post offices
- Furnishing shops/display rooms (such as carpet shops, double glazing, garage doors)
- Car/caravan show rooms
- Second-hand car lots
- Petrol stations
- Garden centres
- Art galleries (where art is for sale/hire)
- Hair and beauty services (such as: hairdressers, nail bars, beauty salons, tanning shops, etc)
- Shoe repairs/key cutting
- Travel agents
- Ticket offices e.g. for theatre
- Dry cleaners
- PC/TV/domestic appliance repair
- Funeral directors
- Photo processing
- Tool hire
- Car hire
- Employment agencies
- Estate agents and letting agents
- Betting shops
- Sandwich shops
- Coffee shops
- Live music venues are hereditaments wholly or mainly used for the performance of live music for the purpose of entertaining an audience. Hereditaments cannot be considered a live music venue for the purpose of business rates relief where a venue is wholly or mainly used as a nightclub or a theatre, for the purposes of the Town and Country Planning (Use Classes) Order 1987 (as amended).
- Hereditaments can be a live music venue even if used for other activities, but only if those other activities (i) are merely ancillary or incidental to the performance of live music (e.g. the sale/supply of alcohol to audience members) or (ii) do not affect the fact that the primary activity for the premises is the performance of live music (e.g. because those other activities are insufficiently regular or frequent, such as a polling station or a fortnightly community event).
- Sports grounds and clubs
- Museums and art galleries
- Sport and leisure facilities
- Stately homes and historic houses
- Tourist attractions
- Wellness centres, spas, massage parlours
- Casinos, gambling clubs and bingo halls
- Public halls
- Clubhouses, clubs and institutions
- Hotels, Guest and Boarding Houses
- Holiday homes
- Caravan parks and sites
The above lists are not exhaustive and may be added to. If your business is of a broadly similar nature to one listed above it may still qualify.
Businesses not eligible
The following types of uses are considered not to be retail use for this relief and therefore are not eligible
- Financial services (e.g. banks, building societies, cash points, bureaux de change, short-term loan providers)
- Medical services (e.g. vets, dentists, doctors, osteopaths, chiropractors)
- Professional services (e.g. solicitors, accountants, insurance agents/ financial advisers)
- Post office sorting offices