Pre April 2008 much of the empty commercial properties on the market received 100% relief from business rates for the first 3 vacant months, this was followed by a reduction of 50% thereafter, with industrial warehouse properties receiving the full 100% relief for as long as they remained empty.
The law was then changed meaning that empty commercial properties only received the 100% relief from business rates for the first 3 months (extended to 6 months in the case of industrial warehouse properties) with full rates being paid thereafter. The bad news is that the rateable value thresholds at which an empty commercial property becomes liable for business rates dropped on 1 April from £18,000 (initially £2200 and subsequently £15000) to £2600 in England and £2200 in Wales. This change obviously will bring many more properties within the scope of business rates thus adding to the already heavy burden of owners of empty commercial properties.
If you require any further information or advice about this particular topic please contact Mathew Haynes on 0113 245 0733.
