Thackray Williams

The Government has recently announced that it is planning to bring in new regulations to help English businesses to pay their increased business rates bills.

The proposals will enable a business in England to defer 60% of the increased amount of rates payable for 2009-10. The deferred amount will then be payable in the tax years 2010-11 and 2011-12 together with the rates due for those years. The regulations are expected to be made by July and billing authorities will then be in touch with rate payers.

The aim of the proposal is to help with the effects of the recent increase in inflation. Business rates are calculated by using the rateable value of a property and multiplying it by a figure which is obtained from the Retail Prices Index. This means that the recent rise in inflation has sparked a rise in business rates. The Government are aware that it is a tough economic time for businesses and is therefore hoping that these regulations can offer some support.

The Welsh assembly has announced that they will also introduce similar regulations for Wales.

For more information on business rates email vikki.herbert@thackraywilliams.com