In his Autumn Statement, Chancellor George Osborne announced a proposal to exempt newly built empty property from business rates for a period of 18 months up to the state aids limit and subject to consultation.
The proposal will apply to newly completed commercial property built between 1st October 2013 and 30th September 2016.
The Chancellor also announced that the doubling of the Small Business Rate Relief Scheme would be extended for a further 12 months up to 31st March 2014. This means that properties with a rateable value up to £6,000 will not pay business rates.
Rod Edwards, rating director at Eddisons said: all forms of relief from paying business rates should be welcomed, but the Government could have done more to help speculative development.
The 18 month exempt period on new build could have been extended further and started sooner.
The change does nothing to help those already saddled with empty rate liabilities on existing buildings.
For more information on how to reduce your rating liability and for advice on these recent changes, please call our rating team on 0333 6000 110 or email firstname.lastname@example.org
By Rod Edwards
Richard joined Eddisons in 2003 and has been the Managing Partner since 2012, a role that sees him lead the strategic direction and development of the business under the ownership of Begbies Traynor Group plc. Richard has been instrumental in the growth of the business which has seen turnover more than double since 2008.
In addition to his role as Managing Partner, Richard continues to play a vital role with key clients, particularly in the banking sector, where he is a trusted adviser to major high street clearing banks. Over the last eight years, Richard has been appointed LPA Receiver on many high profile properties and assists in the recovery of distressed loan portfolios.
Prior to joining Eddisons, Richard worked in the real estate division of a 'Big Four' firm where his notable assignments included the privatisation of Saudi Telecom for flotation on the New York Stock Exchange.