Business rates will not be payable in the first three months that a property is empty. This is extended to six months in the case of certain industrial properties. After this period, rates are payable in full unless the unoccupied property rate has been reduced by the government by order.
In most cases, the unoccupied property rate is zero for properties owned by charities and community amateur sports clubs. In addition, there are a number of exemptions from the empty property rate.
Regulation 2, Non Domestic Rating (Unoccupied Property) Regulations 1989 S.I 1989/2261 provide that the following type of dwelling will not be liable to unoccupied property rate providing all criteria as laid down are satisfied:
- property unoccupied for a period of less than three months
- occupation prohibited by law
- kept vacant by action of the Crown
- listed buildings
- ancient monuments
- properties with a rateable value of less than £2,200
- possession only as personal representative of a deceased person
- possession only as a trustee in bankruptcy
- possession only as a liquidator
- possession only as a trustee under a deed of arrangement
Partly Occupied Property
A ratepayer is liable for full non-domestic rates, whether a property is wholly occupied or only partly occupied. Where a property is partly occupied for a short period, the local authority has the discretion in certain cases to award relief in respect of the unoccupied part.
For further information, please contact the council's Business Rates section on 0345 678 9003 or email business.rates@shropshire.gov.uk.