2020 Rating List Published in Northern Ireland
The Land & Property Services department has this month published its draft of the 2020 rating list that will come into effect on 1 April 2020.
Premises’ Net Annual Values (NAVs) (rateable values in GB) that are used by local authorities to calculate a liability will be based on rental levels prevailing at 1 April 2018.
The purpose of the revaluation is to reset premises’ NAVs and corresponding rate liability to rental levels prevailing at the prescribed valuation date, and to redistribute the burden of the tax to classes of property in locations where there have been changes in rental levels since the last revaluation in April 2015, when NAVs were based on April 2013 values.
Businesses that will welcome reductions in their rates bills include ‘local’ retailers and supermarkets where NAVs are set to decline by 15% to 25%. Belfast City centre is mixed, with Donegall Place and Victoria Square remaining at broadly similar levels of value, while Castle Court will see declines nearer 27.5%.
Businesses that are set to endure increases in their rates bills include “one-off” retail locations, such as Castle Lane in Belfast where NAVs will increase by 11%. Grade A offices are set to increase by 30% and quality hotels will almost double in value.
The LPS’s announcement brings to businesses’ attention the lack of consistency across the UK. England is in the process of switching to three yearly revaluations from April 2021. Scotland is also switching to three yearly revaluations, although this will be from April 2022. As the home nations have devolved powers this inconsistency is set to continue.