Brexit report: implications for business rates
With Brexit only a few short months away, it seems that most aspects of doing business in the UK will be affected whether significantly or marginally.
The one exception you may have thought would be business rates – a non-domestic tax that is exclusively based on the rental values of properties in the UK – not so. This isn’t about jumping on the Brexit bandwagon as we roll toward March 2019 as there are some key points that certain businesses and landlords may need to consider.
For instance, matters subsequent to the referendum that could be interpreted as a ‘Material Change in Circumstances’ (MCC) thus giving rise to a reduction in the Rateable Value. Ports and airports in the 2017 List would be the most obvious examples with both passenger and freight cargoes inextricably linked to the EU. There may be other matters that need to be taken into consideration and how they relate to the 2021 List where the antecedent valuation date is 1 April 2019.
I have pulled together a full examination of the key issues in a report “Brexit – implications for Business Rates”. Whilst I don’t expect it to land as a priority on the desks of Theresa May’s negotiation team, there are several points raised that are worth reading if your business or employer has EU import/export/trade interests.
London Mayor Sadiq Khan is the latest big name to call on the government to extend the business rates holiday beyond April 2021.
The retail and hospitality sectors are mobilising the troops with dire warnings that thousands of business are at risk if the rates holiday isn’t extended beyond April 2021.
The pandemic has led to more than 50,000 extra appeals being lodged against business rates by Scottish firms alone.