2017 Rates Hike: How Newton Perkins Can Mitigate the Increase
The 2017 Business Rates Revaluation will take effect in April next year and is likely to increase property costs for most London occupiers. We recommend our clients consider the impact and with Newton Perkins advice mitigate the increases.
Will it affect you? By way of background, Revaluations normally occur every 5 years-the present Government deferred this Revaluation by 2 years. Rateable values are derived from market rents and for the 2017 Revaluation the “Valuation Date” is taken as April 2015 (a relative highpoint for the UK economy). So if your office is located in an area which has seen rent rises in the 7 year period to 2015 it is likely that your rateable value will be “listed” at a higher figure.
From our research the highest proportionate rent increases have been in the following London areas (highest to lowest):-
1. Shoreditch 54%
2. The South Bank 36%
3. Soho 29%
4. Mayfair 21%
5. The City 21%
What can we do? The new 2017 Rating List came into effect on 1st April 2017. There are new (complicated) procedures to appeal these assessments. For our existing and prospective clients, Newton Perkins will investigate the level of the assessment and advise if there is a valid ground to challenge the assessment.
To talk this through, please contact our
expert team of chartered surveyors: Mark de Roeper firstname.lastname@example.org or Michael Moon email@example.com
Telephone: 0207 456 0700.
Our website www.newtonperkins.com contains additional commentary which is regularly updated.
A word of caution! We would advise against any occupier accepting the overtures of (cold calling) rating “advisors” suggesting a blanket appeal on a “no win no fee”. There are many instances where these blanket appeals have led to an increase in the rates both for the occupier and other occupiers in the same building and locality – you may have seen press coverage from disgruntled occupiers on the theme.
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