Part of a business rates holiday introduced from 1 April 2020
Estate agents, lettings agencies and bingo halls that closed as a result of the measures to restrict the spread of the coronavirus will be now be exempted from business rates in 2020-21.
This comes after the Chancellor announced in the Budget that, in response to COVID-19, the business rates retail discount would be increased to 100% next year. Also, that it would be expanded to the hospitality and leisure sectors.
Today, (25 March 2020) the government announced that some of the exclusions for this relief have been removed. Retail, leisure, and hospitality properties that have closed as a result of the COVID-19 restriction measures will now be eligible for the relief.
So, estate agents, lettings agencies and bingo halls that are required to close will not pay any business rates next year.
Rishi Sunak said:
“We are determined to do whatever it takes to support businesses during Covid-19, which is why we have extended business rates relief for the high street.
“Today, I am removing some the exclusions for this relief, so that retail, leisure, and hospitality properties that have closed as a result of the measures announced by the Prime Minister in his statement on Monday will now be eligible for the relief.
“This will ensure that estate agents, lettings agencies and bingo halls that are required to close will not pay any business rates next year.”
Eligible businesses will be re-billed by their local authority and the new bill will give them the discount of 100%. If businesses have made payments in the meantime, they will be refunded by their local authority.
The Devolved Administrations will receive funding under the Barnett formula to support businesses in Scotland, Wales and Northern Ireland.
Guidance for local authorities on the application of the holiday will be published by MHCLG shortly.