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Housing: Valuation

Volume 480: debated on Wednesday 15 October 2008

To ask the Secretary of State for Communities and Local Government whether the internal refurbishment of a property, where the physical refurbishment affects the notional rent that the property would attract, should routinely lead to the carrying out of revised valuation by the Valuation Office Agency prior to the 2010 business rates revaluation. (225654)

The Valuation Officer has a statutory duty to maintain a correct rating list. When he/she becomes aware that an internal physical refurbishment of a property has increased its rateable value, under the statutory definition, he/she is obliged to alter the current rating list accordingly. The rateable value must have regard to the market conditions at the antecedent valuation date (1 April 2003 for the current rating lists), and will take effect from the completion of the works.

A refurbishment which addresses disrepair may not warrant an increase in the rateable value since the statutory definition already assumes a reasonable state of repair.