Government consults on 3-yearly business rates revaluations

The government has launched a consultation on business rates proposing to make more frequent property revaluations in England.

The proposals unveiled by the Treasury yesterday (29 June) would see revaluations taking place every three years, instead of the current five, to better reflect changing economic conditions and make the rates system fairer and more streamlined.

“Proposals set out in this consultation would mean that valuations more quickly reflect how the economy is performing, making the business rates system more accurate and responsive, while balancing the burden for ratepayers,” Financial Secretary to the Treasury Jesse Norman said.

Following the 2017 revaluations, the government had sought to move to more frequent revaluations, having introduced legislation to bring forward the next revaluations to 2021, based on 2019 property values. However, this was delayed to 2023, based on 2021 values, as a result of the Covid-19 pandemic.

The consultation forms part of the government’s Fundamental Review of Business Rates, which will be published later this Autumn. The government said the review, launched in July 2020, found more frequent revaluations to be a priority for respondents in its call for evidence.

The consultation closes on 24 August.