Business rates question

[Upinflames]

Hi

We live on a farm, the OH runs it as a livery yard renting out stables. Not included in the rateable value are a few stables near the farmhouse which are private use.

We want to rent these stables out now to increase revenue but don't want to fall foul of business rates however the valuation office won't come out until April '23.

What can I do? What happens if we just rent them do you think?

TIA

[Chrisgr31]

There is currently no obligation on anyone to notify the council or valuation office of changes they make to a non-domestic property. However the government have recently issued a consultation on a change in process which would require businesses to notify tem of a change.

I would therefore go ahead and make the changes not telling anyone of the changes. If you receive a notice of information requiring a return you will have to tell them. There are rules regarding the backdating of increases in rateable values which mean it is in your interest to keep quiet if not asked.

I would however be aware that the rates are too low and accrue a sum in case the VO finds out

[Noel]

At the moment units with a Rateable Value less than £12k don't have to pay.

That £12k figure roughly equates to the annual rent.

If you plan on renting it for a few quid the tenant wouldn't be liable if it's their only commercial premises.

You should look in to a proper agreement whether it be a lease or licence. Also look at Security of Tenure. You don't want to inadvertently give some rights over your property.

[Chrisgr31]

Incidentally if you want to PM me the address of the property plus the size of the additional stables I’ll do an estimate for you.

Can I also check are you renting these additional stables put as livery or as self service or whatever the horsey word is for it