Hotels’ ratings burden lifts
Colliers International Manchester claims to have saved £1.1m for four hotel clients in the first six weeks of 2012 on ratings appeals for 12 properties.
The largest client is set to save £1m over five years following successful appeals on nine properties undertaken on its behalf by Colliers International Manchester. One of its hotels in south Manchester will save £170,000, another in east Manchester will see its rates reduced by £182,000 and another in Knowsley, Merseyside will save £172,000.
A separate hotel client in Liverpool has received a £39,000 cash refund after a successful appeal for a material change of circumstance and a banqueting suite in Manchester is saving more than £50,000 over five years.
Colin Siebert, director of licensed and leisure property at Colliers in Manchester, said: "Rating liability is a big cost for any business at any time but in these particularly difficult economic conditions securing the best outcome for our clients via these successful appeals is particularly gratifying.
"Despite the fact that the current rating list commenced in April 2010 it is not too late for businesses to have their rating assessment reviewed and anything which produces a cost saving is obviously worthy of consideration."
Properties are assessed on the basis of a rate per sq ft or in the case of many licensed premises, by reference to fair maintainable turnover. If the rating team decides an appeal is warranted it lodges the appeal with the Valuation Office and discusses the rateable value. If agreement cannot be reached, the issue is referred to tribunal although such a course of action is rare.
