The Welsh Government has published its summary following a 12-week consultation on potential legislative changes that would affect business rates at its next revaluation in 2021.
A revaluation of non-domestic properties usually takes place every five year with the next revaluation due to take place in 2022, however, the Welsh Government decided to bring it forward 12 months.
The main purpose of revaluation, and the associated setting of the multiplier, is to adjust the liability of properties relative to others within the non-domestic rates (NDR) tax-base. This ensures the rates liability is spread fairly between ratepayers and based on up-to-date rental values.
The 12 week-consultation sought views, from across Wales only, on whether a decapitalisation rate should be prescribed in legislation, how many rates should be prescribed and how the rate or rates should be calculated.
Overall, most respondents agreed to the Welsh Government’s proposed approach for setting decapitalisation rates in Wales with the proviso that that it did not unfairly affect certain sectors.
There were 9 respondents overall, but amongst them were the Country Land and Business Association; Royal Institute of Chartered Surveyors; the Institute of Revenues, Rating and the Valuation Rating Surveyors’ Association, so some big hitters in terms of knowledge and expertise.
The attached link below outlines the views put forward and the next steps in the process: https://gov.wales/sites/default/files/consultations/2019-09/non-domestic-rates-summary-of-responses.pdf