Transitional arrangements
The aim of transitional arrangements is to offset large variations between rates payable in the first year of a new Valuation List when compared to rates payable in the final year of the previous List. These Government measures limit the potential increases and decreases in liability so that their effect would be phased in over several years during the life of the current Valuation List. The threshold for small properties has been increased to rateable value £18,000.
The annual limits on increases in bills over the five year life of the 2010 rating list are:
Maximum Increases In Real Terms
|
Year
|
Small Property RV Less Than £18,000
|
Large Property All Others
|
|
2010/11
|
5%
|
12.5%
|
|
2011/12
|
7.5%
|
17.5%
|
|
2012/13
|
10%
|
20%
|
|
2013/14
|
15%
|
25%
|
|
2014/15
|
15%
|
25%
|
The annual limits on decreases in bills over the 2010 rating list are:
Maximum Decreases in Real Terms
|
Year
|
Small Property RV Less Than £18,000
|
Large Property All Others
|
|
2010/11
|
80%
|
95.4%
|
|
2011/12
|
70%
|
93.3%
|
|
2012/13
|
65%
|
93%
|
|
2013/14
|
45%
|
87%
|
|
2014/15
|
45%
|
87%
|
These percentages have to be adjusted upwards for inflation each year. For 2011/12 this is 4.7%. There is a supplement to cover the cost of the Small Business Rate Relief scheme. This is calculated from your rateable value, not from your rates liability.
It should be generally noted that an entitlement (if any) to transitional provisions is property based and granted automatically. The actual amount granted is calculated using a formula set by legislation. If you require further information on how these provisions affect the rate liability of individual properties please contact Customer Serviceson 01784 451499 or email nndr@spelthorne.gov.uk
Please note that in view of the above provisions there could be little or no change to the amount of rates payable if a successful appeal results in a reduction to the rateable value. This is because adjustments are made firstly to the amount of transition granted and this could wholly or partly offset any reduction achieved.