Department of the Environment, Transport and the Regions
A Guide to the Revaluation of Business Rates
This leaflet has been published with the co-operation of:
The Valuation Office Agency (an Executive Agency of the Inland Revenue)
The Valuation Tribunal Management Board
The Local Government Association
Department of Trade and Industry Small Business Service
The Royal Institution of Chartered Surveyors
The Institute of Revenues Rating and Valuation
This leaflet contains important information for ratepayers who have appealed against the valuation of commercial property, or who plan to do so.
From 1 April 2000, business rate appeals have been put into a programme so that ratepayers know when their appeals will be settled, either through discussions with the valuation officer or at a hearing before the valuation tribunal.
This leaflet tells you more about programming, explains why it is being introduced and what it means for you.
Who does what in valuation and appeals?
The Valuation Office Agency (VOA) sets the initial valuation for each non-domestic property (and for all domestic properties for council tax purposes).
If you disagree with their valuation of your property, you can appeal. The valuation officer (VO) will first discuss your appeal with you to try and reach a settlement.
The valuation tribunal (VT) is the independent body that will consider your appeal if you and the VOA cannot agree.
Your local council will work out and send you your actual rates bill.
Why is a programme being introduced?
Until now, the VOA and valuation tribunals have not always been able to tell ratepayers when they will consider their appeals. The first contact some ratepayers have had on their case has been when the valuation tribunal has listed the appeal for a hearing. At really busy times this can take two years or even longer.
The new programme will make it clear when you can expect your appeal to be resolved. It will also allow everyone involved to prepare to deal with your appeal - the VOA and VT service, and more importantly, you and your agent, if you have one.
What's in the programme?
The programme will give:
- a 'start' date, which is when the VO will be able to begin considering your appeal. They will discuss it with you and your agent; and
- a 'target' date, which is when the VO expects to end any discussions and reach a settlement with you if they can.
If your appeal is not settled by this 'target' date, the VT should consider the case shortly afterwards. It will notify you separately of the arrangements.
Will my property be listed in the programme?
There is a separate programme for each local authority area. Each one gives a timetable for appeals by property type and/or location. So, for example, the programme may tell you that any appeals received for the shops in The High Street, Keswick, will be considered in the third quarter of 2001. However, it will not identify individual properties.
Where can I see the programme?
If you can access the Internet, you can see them at www.voa.gov.uk.
Alternatively you can contact your local Valuation Office or valuation tribunal.
Nobody asked me if my place in the programme was convenient.
It is not possible to consult everyone individually, but the VO draws up the forward programme taking account of the views of the VT service, which needs to schedule its hearings.
Ratepayers can also make representations to the VO before a programme for the following two years is published each October. The programme is publicised in the local press. But in any case the programme does not commit you to meeting the VO to discuss your case on a particular date - those arrangements will be made nearer the time.
How will I know when it's my turn?
The letter from the VO that acknowledges your appeal will also tell you when he or she will be in a position to discuss it with you or your agent.
If they cannot do that, perhaps because your appeal was received too late to go into the detailed programme straightaway, the VO will tell you and then write to you again once your appeal has been placed in the programme.
Will I be expected to contact the valuation officer to start discussions?
The VO will write to you beforehand inviting you to contact him to arrange a discussion with you and/or your agent.
Will I be given any information during those discussions?
The VO will give you a full explanation of how he or she valued your property, including the details of any other properties and evidence that they took into account in valuing yours. And of course, you or any agent acting for you will be expected to offer any evidence of your own that supports your case for a different valuation.
What if we still can't agree?
If you and the VO still disagree about the valuation by the 'target' date, these discussions will end. The VO will only continue discussions after that date if there are compelling reasons to do so. The VT will then consider the case shortly afterwards.
When will the hearing take place at the Valuation Tribunal?
Valuation tribunals are independent bodies. The VT that will consider your case will decide when it can hear it. The VT will send you details of the arrangements for the hearing. However, it is expected that most hearings will be set for a date shortly after your discussions with the valuation officer.
I haven't reached the 'target' date but the tribunal has sent me a date for the hearing.
This is normal. Tribunals have to give at least four weeks notice of a hearing date, and some give even longer than that. So you may get notice of a hearing date even though you are still talking to the VO about your case. However, if you then reach agreement with the VO, you will not normally have to attend the hearing.
Will I still have to wait a long time for my appeal to be settled?
In view of the number of appeals received - and there were over a million appeals between 1995 and 2000 - it will take some time to resolve them all. The introduction of a programme will provide a structured approach to dealing with them, which should help everyone.
Any delay in hearing your appeal will not prejudice your interests as any reduction in your bill will be backdated (subject to any restrictions on the effective date of your appeal) and you will normally be entitled to interest on any refund.
I am having difficulties paying because my rates are far too high. Can I bring forward my date in the programme?
If you believe your valuation is wrong and that you are suffering financial hardship as a result, you should speak to the VO first of all.
The VO will then discuss with you whether they should consider your case earlier in the programme and separately from any other properties of the same type and/or location under the programme.
The VO will then refer your appeal to the clerk of the valuation tribunal who will make the final decision about whether your appeal should be considered earlier.
Can I get further information about valuations and appeals?
The revaluation that took effect in April 2000 was explained in our leaflet Revaluation 2000: A Guide to the Revaluation of Business Rates.
The appeals process, and the changes that came into effect from April 2000 are set out in Revaluation 2000: A Guide to Appeals on Business Rates.
Both leaflets are available by calling 0870 1226236.
Useful addresses
For further advice about the valuation of your property, how to appeal, or programming, you should contact your valuation officer - look under "Valuation Office" in your phone book. Full details of local offices are also available on the VOA website at www.voa.gov.uk.
Alternatively, you may want to contact a rating adviser. Members of the Royal Institution of Chartered Surveyors (RICS) and the Institute of Revenues Rating and Valuation (IRRV) are regulated by rules of professional conduct designed to protect you from misconduct.
You can find details of these organisations and their members on their websites:
RICS - www.rics.org.uk (or telephone 020 7222 7000)
IRRV - www.irrv.net (or telephone 020 7831 3505)
Before employing a rating adviser who is not a member of one of these bodies, you should satisfy yourself that he or she has the knowledge and expertise needed to represent you properly. You should also make sure that they hold adequate professional indemnity insurance.
Your local valuation tribunal office can tell you more about what they do. You can find them in the phone book, or if you have internet access you can find their number at www.valuation-tribunals.gov.uk. You can also get their number from your local Valuation Office or local council.
If you would like further copies of this booklet, please contact the Department of the Environment, Transport and the Regions, DETR Free Literature, PO Box No 236, Wetherby LS23 7NB. Tel: 0870 1226 236 Fax: 0870 1226 237.
Published by the Department of the Environment, Transport and the Regions, the Valuation Office Agency, the Local Government Association and the Valuation Tribunal Management Board. c Crown Copyright 2000. Printed in the UK October 2000 on paper comprising 90% post consumer waste and 10% pre-consumer waste. Product code 00LG 0874.
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