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Non-Domestic Rates: Greater London

Volume 486: debated on Monday 19 January 2009

To ask the Secretary of State for Communities and Local Government what the financial value of the threshold level of rate relief in London for small firms in relation to (a) small business rate relief, (b) exemption from empty property business rates and (c) exemption from supplementary business rates will be in 2009-10. (246386)

The rateable value thresholds for rate relief in London are:

In regard to Small Business Rate Relief in London, there are three tiers to the current system; (i) eligible businesses occupying a property with a rateable value of less than £5,000 receive a reduction of 50 per cent. in their rates liability, (ii) eligible businesses occupying a property with a rateable value between £5,000 and £10,000 are entitled to relief on a sliding scale—for every £100 increase in rateable value, relief decreases by 1 per cent. (iii) eligible businesses occupying a property with a rateable value between £10,000 and £21,500 have their liability calculated with the small business multiplier and do not pay the supplement to fund the scheme.

In regard to empty property rates the current exemption threshold of a rateable value of £2,200 is to be increased to £15,000 for the financial year 2009-10.

As set out in clause 27(i) of the Business Rates Supplement Bill currently before Parliament, no business rates supplement may be levied before 1 April 2010.