Latest News

15/01/2010 - Business Rates: Grants – Effect on Value
In the recent Lands Tribunal Decision P Allen VO v English Sports Council 2009, it was held that in contractors’ based valuations, the availability of a grant was effectively not a relevant matter and should be disregarded; it was also held that the tenant’s ability to pay (or lack thereof) “...was removed from him by prescription of the decapitalisation rate.”

As a result of this decision, the Valuation Officer is reviewing the 2005 and 2010 rating assessments of local authority leisure centres and museums, valued on the contractors’ basis of valuation, with a view to increasing the assessments of all such premises, where an allowance has previously been agreed to reflect the availability of grant. Other classes of property may be affected, but to a lesser extent.

I understand that the VO’s intention will be to backdate any increases, albeit he will be restricted by the 2009 Appeal Regulations, which provide that any alteration of the Rating List made to correct an inaccuracy, and which involves an increase in assessment, can only have effect from the day the Rating List is altered.

Eric Rose
11th January 2010