Policy for Granting Discretionary Non-Domestic Rate Relief

• Purpose of the policy
• Mandatory relief - legislative background
• Discretionary relief - legislative background
• Effect on the Council's finances
• Discretionary relief - subsidy
• Administration of discretionary relief
• Scheme of delegation
• Reporting changes in circumstances
• Fraud
• Appendix A: Discretionary relief - mandatory relief recipients
• Appendix B: Discretionary relief - non profit making organisations including recreation
• Appendix C: discretionary relief - premises within rural settlements
• Appendix D: Discretionary relief - Localism Act 2011
• Appendix E: Supporting small businesses relief
• Appendix F: Pubs and live music venues relief
• Appendix G: Section 49 - hardship relief
• Appendix H: Section 44a - partially occupied hereditament

Purpose of the Policy

The purpose of this policy is to determine the level of discretionary relief and related areas to be granted to certain defined ratepayers within the Council’s area.

The Local Government Finance Act 1988 and subsequent legislation require the Council to grant mandatory relief for premises occupied by charities and similar organisations that own or occupy them, wholly or mainly for charitable purposes. Likewise, certain premises situated within a rural settlement area will be eligible for mandatory relief. Powers have also been granted under the Localism Act 2011, which allow for the granting of discretionary rate relief to any premises where the Council feels the granting of such relief would be of benefit to the local community.

In addition to the above, Central Government is keen that in certain cases, assistance should be provided to businesses who have had increases in their rate liability due to the revaluation of premises in April 2017. In these cases, and where the Council meets Central Government guidelines, grants are available under Section 31 of the Local Government Act 2003.

The Council is required to award relief to premises that meet the criteria for mandatory relief. In addition, the Council may, at its discretion, grant further relief or reductions where the relevant eligibility criteria are satisfied.  For new reliefs, Central Government has issued guidance on the actions expected of local authorities. This policy reflects that guidance where relevant and directs discretionary relief in line with the Council’s priorities.

This document outlines the following areas: 

• details of the criteria for receiving discretionary reliefs for all relevant areas;
• the Council's policy for the granting of all types of discretionary reliefs;
• guidance on granting and administering the reliefs and awards;
• Governments requirements including provisions for subsidy; and 
• the Council's scheme of delegation.

Applications for relief will be assessed and awarded, or refused, in accordance with this policy. 

Mandatory Relief - Legislative Background

Charity Relief

The Local Government Finance Act 1988 gives the Council the power to award mandatory and discretionary rate relief. Charities and charitable trustees are required to pay only 20% of the non‑domestic rates on properties used wholly or mainly for charitable purposes, with the remaining 80% granted as mandatory relief. For the purposes of the Act, a charity is any organisation or trust established for charitable purposes, whether or not it is registered with the Charity Commission. Since 1 April 2004, this provision has also applied to registered Community Amateur Sports Clubs (CASCs). Full details of mandatory relief are set out later in this policy

In the case of charity shops, the premises must meet the criteria laid down by section 6/4 (10) of the Local Government Finance Act 1988 which states that the premises are to be treated as used for charitable purposes at any time it is wholly or mainly used for the sale of goods donated to the charity and the proceeds of goods (after any deductions for expenses) are applied for the purpose of the charity.

The Council has discretion to grant relief of up to a further 20% for these mandatory cases under its discretionary provisions.

Rural Rate Relief

From 1 April 1998, under powers in the Local Government and Rating Act 1973, certain businesses in rural settlements with populations under 3,000 may qualify for 100% mandatory rate relief.

Where businesses in rural settlements have a rateable value of up to £16,500 and are not in receipt of mandatory relief, the Council may decide to give up to 100% discretionary relief if it is satisfied that the business is of benefit to the community and having regard to the interests of its Council taxpayers.

From 1st April 2025, Central Government has have determined that all private schools which would have previously been entitled to mandatory relief (either as a charity or charitable organisation), will no longer be entitled to mandatory relief. For the purposes of this change the definition of private school is an educational establishment that provides compulsory full-time education where a fee is payable.

The Non‑Domestic Rating (Multipliers and Private Schools) Act 2025 removed relief eligibility for private schools from April 2025. However, private schools that are wholly or mainly providing full‑time education to pupils with an Education, Health and Care Plan remain eligible for relief.

Discretionary Relief - Legislative Background

Introduction

The original purpose of discretionary relief was to aid where the property does not qualify for mandatory relief, or to top up cases where ratepayers already receive mandatory relief.

Over recent years and particularly since 2011, the discretionary relief provisions have been amended to allow authorities the flexibility to provide more assistance to businesses and organisations.

The range of bodies, which are eligible for discretionary rate relief, is wide and not all  criteria laid down by the legislation will be applicable in each case.

Unlike mandatory relief, ratepayers must apply to the Council. Applications must be submitted in the required format, which may change over time, and must include all information and evidence needed for the Council to determine eligibility.

The Council is obliged to carefully consider every application on its merits, taken into account the contribution that the organisation makes to the amenities within the authority’s area. There is no statutory appeal process or tribunal against any decision made by the Council although, as with any decision of a public authority, decisions can be reviewed by judicial review. The authority will however, upon requests, review decisions made.

Granting of the relief falls broadly into the following categories:

1. Discretionary relief- charities who already receive mandatory relief;
2. Discretionary relief-premises occupied by organisations not established all conducted for profit whose main objects are charitable or are otherwise philanthropic or religious or concerned with education, social welfare, science, literature or the Fine Arts or premises occupied by organisations not established or conducted for profit and wholly or mainly used for purposes of recreation;
3. Discretionary relief- rural rate relief- premises not receiving mandatory relief but of benefit to the local community and less than £16,500 RV;
4. Discretionary relief-granted under the Localism Act 2011 provisions;
5. Supporting Small Business Relief (from 1st April 2026);
6. Pubs and Live Music Venues Relief (from 1st April 2026; and
7. Section 49 relief

The decision to grant or not to grant discretionary relief is a matter purely for the Council.

The Council's general approach to granting discretionary relief

In deciding which organisations should receive discretionary rate relief, the Council has considered the following factors and priorities:

1. Whether the application satisfies the legislative requirements and guidance;
2. Whether corporate priorities would be served by the award of relief;
3. Whether the ratepayer is in direct competition with other ratepayers in the immediate vicinity;
4. The specific benefit the ratepayer brings to all residents of Bassetlaw;
5. Who has access to the organisation and how do they access it;
6. Is there a membership and what are the fees;
7. Is it open to all sections of the community or fulfilling a special need within the community;
8. Are particular groups i.e. people with disabilities, OAP’s, minority groups, within the community actively encouraged to join, benefit from, or participate;
9. Are members mainly residents of Bassetlaw and how many Bassetlaw residents directly benefit from the services the organisation provided;
10. Is there a measurable contribution to the amenities in the area- loss would affect the area’s residents; 
11. If there is a licenced bar, is it incidental to the main purpose of the organisation; and
12. What is the level of reserves held and is there any intention as to their future use.

Where any deduction or remission is granted to a ratepayer under Section 49 Local Government Finance Act 1988 where hardship is proven to the Council, then this will be provided after applying any government funded relief, where possible and subject to the requirements of individual reliefs.

In certain cases, the order in which relief is granted is specified. Mandatory relief shall be granted in all cases where the criteria is met irrespective of whether discretionary relief can be granted or not.

The Council's approach to granting government LED discretionary relief schemes 

 In recent years, several government‑led schemes have been introduced without specific legislative changes. These are administered under Section 47 of the Local Government Finance Act 1988, often supported by government guidance. The Council aims to support such initiatives, particularly where they benefit local businesses, and will seek to maximise both the relief awarded and any associated grants. However, the Council may vary its approach where appropriate.

Effect on the Council's finances

The granting of discretionary relief well, in the main, involve a cost to the Council. Since the change to the funding for non-domestic rating in April 2013, the effect of the relief is complex.

Any amounts granted prior to 1st April 2013 and continuing since that date will be included in the Council's baseline within the Business Rates Retention Scheme. For any amounts granted for similar cases, the costs of the relief will be borne in accordance with the Business Rates Retention Scheme shown in the table below. This also applies where mandatory relief is granted.

While Central Government leads an initiative, grants are often available through Section 31 of the Local Government Act 2003. This is not automatic, and Central Government will look to the Council to adopt the recommended approach when granting in these areas.

The financial effects of discretionary reliefs covered by this policy are as follows:

Appendix	Relief Type	Granted after 1st April 2026
A	Charity relief – discretionary relief granted to mandatory relief recipients	40% borne by the Council
B	Charity relief – non-profit making organisations including sports clubs and societies	40% borne by the Council
C	Rural discretionary – discretionary relief – rural rate relief – premises not receiving mandatory relief but of benefit to the local community and less than £16,500 RV	40% borne by the Council
D	Localism – discretionary relief granted to rate payers generally and not covered by any other section	40% borne by the Council
E	Supporting Small Business Relief – from 1st April 2026 for a period of up to three years if conditions are met	Section 31 Grant
F	Pubs and Live Music Venues Relief – from 1st April 2026. Year one at 15% and a further two years where the increase is limited to inflation	Section 31 Grant
G	Section 49 Hardship Relief – granting relief where the ratepayer is suffering hardship	40% borne by the Council
H	Section 44a Partially Occupied Premises – granting of relief where premises are partly unoccupied for a short period	40% borne by the Council

 

Discretionary Relief - Subsidy

Discretionary relief may be subject to the Subsidy Control Act 2022, which establishes the UK’s domestic subsidy control regime. The Act provides the legal framework within which public authorities must make subsidy decisions, reflecting the UK’s strategic interests and national circumstances.

To the extent that the Council is seeking to provide relief that falls below the Minimal Financial Assistance (MFA) thresholds, the Subsidy Control Act 2022 allows an economic actor (e.g. a holding company and its subsidiaries) to receive up to £315,000 in a three-year period (consisting of the 2026/27 year and the two previous financial years).

Where the Council considers that a ratepayer is likely to exceed the MFA limit, it may withhold relief. Otherwise, relief may be applied to bills, with ratepayers required to self‑assess and notify the Council if they exceed the MFA limit. MFA subsidies over £100,000 must be recorded individually on the subsidy control database, as the transparency requirement applies per subsidy award, not cumulatively per beneficiary.

Administration of Discretionary Relief

The following section outlines the procedures followed by officers in granting, amending, or cancelling discretionary relief and reduction. 

Applications and Evidence

The Council will specify how applications are to be received (if required) and this may vary from time to time. 

Where required by the Council, organisations must provide a completed application form and any supporting evidence, including documents and financial accounts (normally for the past two years), to enable a decision to be made. Relief will not be granted if the information provided is insufficient. In some cases, officers may need to visit the premises, and organisations are expected to facilitate these visits.

Where applications are required, they should initially be made to the revenues and benefits service and will be determined in accordance with this policy.

The Council will provide this service and provide guidance free of charge. Ratepayers are encouraged to approach the Council direct and not pay for such services through third parties. Applications for relief will be accepted from ratepayers only.

Granting of Relief 

In all cases, the Council will notify the ratepayer of decisions made.

When an application is successful, the ratepayer will be notified. Where relief is not granted, then the following information is provided;

1. An explanation of the decision within the context of the Council's statutory duty; and
2. An explanation of the appeal rights (see below).

Discretionary relief is to be granted from the beginning of the financial year in which the decision is made or when liability begins whichever is the later. Where the relief is fully Government funded, relief will be granted as long as the rate payer is eligible.

A fresh application for discretionary relief may be necessary for each financial year or at such time period as the Council determines.

Variation of a Decision 

Variations in any decision will be notified to ratepayers as soon as practicable and will take effect on a date determined by the Council.

A decision may be revoked at any time by the Council.

Scheme of Delegation

Granting, varying, reviewing and revocation of relief 

All powers in relation to reliefs are given under the Local Government Finance Act 1988, the Local Government and Rating Act 1997, The Local Government Act 2003, and the Localism Act 2011.  However, Section 223 of the Local Government Act 1992 allows for delegation of decision by the Council to Cabinet, Committees, Sub-Committees or Officers.

The Council’s scheme of delegation, as set out at Part 4 of the constitution allows for the Asst. Chief Executive & Director of Corporate Resources and Chief Finance Officer (this power can be sub-delegated) to award, revise or revoke any discretionary relief applications.  However, any application which is considered to be of a significant nature will be subject to consultation with the relevant executive or committee prior to final determination.

Applications that are refused will, on request, be reconsidered if additional supporting information is provided or the refusal is subsequently considered to be based on a misinterpretation of the application.

Reviews 

The policy for granting relief will be reviewed annually or where there is a substantial change to the legislation or funding rules. At such time, a revised policy will be brought before the relevant committee of the Council.

Appeals

Where the Council receives an appeal from the ratepayer regarding the granting, non-granting or the amount of any discretionary relief, the case will be reviewed by the Council’s Asst. Chief Executive & Director of Corporate Resources and Chief Finance Officer.  Where a decision is revised, then the ratepayer shall be informed, likewise if the original decision is upheld.

Ultimately the formal appeal process for the ratepayer is Judicial Review although the Council will explain the decision made to the ratepayer.

Reporting Change in Circumstances

Where relief is awarded, the ratepayer must report any change in circumstances that may affect the award as soon as possible, and no later than 21 days after the change. This includes changes that would reduce or cancel the relief, such as the premises becoming unoccupied or being used for a purpose no longer eligible for relief.

Where a change of circumstances is reported, the relief will, if appropriate, be revised or cancelled. Where any award is to be reduced, the Council will look to recover the amount from the date the change of circumstances occurred.

Fraud

Where a ratepayer falsely applies for any relief, or where the ratepayer provides false information, makes false representation, or deliberately withholds information in order to gain relief, prosecutions will be considered under the Fraud Act 2006.

Appendix A: Discretionary Relief - Mandatory Relief Recipients

General Explanation

Charities are defined within the legislation as being an institution or other organisation established for charitable purposes only or by persons administering a trust for charitable purposes only.

The question as to whether an organisation is a charity may be resolved in most cases by reference to the register of charities maintained by the Charity Commissioners under Section 4 of the Charities Act 1960.  Entry in the register is conclusive evidence.  By definition, under the Non-Domestic Rating legislation, there is not actual need for an organisation to be a registered charity to receive the relief, and this has been supported by litigation.  However, in all cases the organisation must fall within the following categories:

• Trusts for the relief of poverty;
• Trusts for the advancement of religion;
• Trusts for the advancement of education; and
• Trusts for other purposes beneficial to the community but not falling under any of the preceding heads.

Certain organisations are exempted from registration generally and are not required to make formal application to the Charity Commissioners, these are:

1. The Church Commissioners and any institution administered by them;
2. Any registered society within the meaning of the Friendly Societies Acts of 1896 to 1974;
3. Units of the Boy Scouts Association or the Girl Guides Association; and
4. Voluntary schools within the meaning of the Education Acts of 1944 to 1980.

The Council will consider charitable organisations, registered or not, for mandatory relief.

Use of Premises - wholly or mainly used 

Irrespective of whether an organisation is registered as a charity or not, the premises must wholly or mainly used for charitable purposes.  This is essential if any relief (either mandatory or discretionary) is to be granted.  In most cases this can be readily seen by inspection, but on occasions the Council has had to question the actual use to which the premises are to be put.  In some cases, it will be necessary for the Council to inspect any premises fully.

Guidance from the Department of Housing, Levelling Up and Communities has stated that in the case of ‘mainly’, at least 51% must be used for charitable purposes whether of that charity or of that and other charities.

The following part of this section gives details on typical uses where relief may be given plus additional criteria that have to be satisfied.  The list is not exhaustive but gives clear guidance on premises for which mandatory relief can be granted and therefore premises which may be equally considered for discretionary rate relief.

Offices, administration and similar premises

Premises used for administration of the Charity include:

1. Offices;
2. Meeting rooms; and
3. Conference rooms.

Charity Shops

Charity shops are required to meet additional legislative criteria if they are to receive mandatory relief.  Section 64(10) of the Local Government Finance Act 188 provides that a property is to be treated as being wholly or mainly used for charitable purposes at any time if, at the time, it is wholly or mainly being used for the sale of goods donated to a charity and the proceeds of the sale of the goods (after any deduction of expenses) are applied for the purposes of the charity.

In order to ascertain whether an organisation meets these requirements, inspections may be made by an officer of the Council when an application is received.

Granting of mandatory relief - the Council's policy

Where the criteria for awarding mandatory relief are met, the rate charges shall be calculated in accordance with the legislation reducing the liability of ratepayers for each day that the criteria are met.

Charity relief - mandatory relief recipients, the Council's policy for granting discretionary relief 

The Council will consider applications for a discretionary rate relief ‘top up’ from charities based on their own merits, on a case by case basis.

In determining the application, the following matters will be taken into consideration:

1. How the charity supports and links into the Council’s corporate vision and priorities;
2. The purpose of the charity and the specific activity carried out within the premises for which the relief is requested; and
3. Whether the charity operates at a local or national level and where appropriate, the local and national funding streams and financial position of the charity.  The Council is keen to ensure that the organisation provides significant benefit to local residents.

The Council is keen to support businesses that have a critical role to play in the local economy and to assist the Council in meeting the corporate aims and values.

In the case of registered Community Amateur Sports Clubs, the key criteria in determining the application will be:

1. The ratepayer occupies the whole hereditament;
2. Relief cannot be granted in respect of premises that are occupied by the Council or precepting authority.
3. How the CASC supports and links into the Council’s corporate vision and priorities;
4. The membership and fee structure, and whether the CASC is accessible to all residents, including whether there are concessions for certain groups, for example people on a low income or young people under 18;
5. Membership numbers and the number and percentage of these members that are local residents;
6. If the CASC has due regard to equality issues and if it actively encourages members from under-represented groups, for example black and minority ethnic residents, people over 50 and people with disabilities;
7. If the CASC runs a bar or food provision; 
8. The level of income from this activity and how this money is used; and whether the CASC operates at a local or national level and where appropriate, the local and national funding streams and financial position of the CASC.

The Council wishes to support and enable appropriate businesses to start, develop and continue with their operations that deliver outcomes directly related to the Council's aims and vision. In the main, this will be done through other means rather than granting discretionary relief. There may be occasions where applications are made for such relief or where a package of measures, including discretionary relief, or appropriate in supporting businesses. This would need to be in accordance with any limitations in respect of subsidy.

Appendix B: Discretionary Relief - non-profit making organisations including recreation

General explanation

Non-profit

The legislation allows the Council to grant discretionary relief where the property is not an excepted one and all or part of it is occupied for the purposes of one or more institutions or other organisations none of which are established or conducted for profit and each of whose main objects are charitable or otherwise philanthropic or religious or concerned with education, social welfare, science, literature, or the fine arts.

Relief cannot be granted to any premises occupied by the Council, or any town, parish Council or major precepting authority (excepted premises).

A number of issues arise from the term ‘not established or conducted for profit’. This requires the Council to make enquiries as to the overall purpose of the organisation although if surpluses and such amounts are corrected towards the furtherance or achievement of the objects of the organisation then it does not necessarily mean that the organisation was established or conducted for profit.

Recreation Clubs 

Ideally all recreation clubs should be encouraged to apply for Community Amateur Sports Club (CASC) status, which would automatically entitle them to 8% relief. The relief granted to CACs is covered earlier within this policy.

Recreation clubs can also apply to the Charity Commissioners for registration as a charity (thereby falling under the mandatory provisions for 80% relief) where they meet the following conditions:

1. The promotion of community participation in healthy recreation and by the provision of facilities for the playing of particular sports; And
2. The advancement of the physical education of young people not undergoing formal education.

Where sports clubs do not meet the CASC requirement, and are not registered charities, discretionary relief can be granted (0-100%) where the property is not an excepted one, it is wholly or mainly used for purposes of recreation and all or part of it is occupied for the purpose of a club, society or other not established or conducted for profit.

Access to Clubs

Guidance issued by the DHLUC also requires the Council to consider access to clubs within the community before granting discretionary relief.

Membership should be open to all sections of the community. There may be legitimate restrictions placed on membership which related, for example, to ability in sport or to the achievement of a standard in the field covered by the organisation or where the capacity of the facility is limited, but in general membership should not be exclusive or restrictive.

Membership rates should not be set at such a high level as to exclude the general community. However, membership fees may be payable at different rates that distinguish the different classes of membership such as juniors, adults, students, pensioners, players, non-players, employed and unemployed. In general, the club or organisation must be prepared to show them the criteria by which it considers applications for membership are consistent with the principle of open access.

The Council also asks the following question to help establish the level of access ‘Does the organisation actively encourage membership from particular groups in the community e.g. young people, women, older age groups, persons with disability, ethnic minorities’ etc?

Provisions of Facilities

Clubs which provide training or education are encouraged, as are those who provide schemes for particular groups to develop their skills e.g .young people, the disabled or retired people.

A number of organisations run a bar. The mere existence of a bar will not in itself be a reason for not granting relief. However, the Council focuses on the main purpose of the organisation. The Council is encouraged to examine the balance between playing and non-playing members.

Within this area, the Council also considers whether the facilities provide relief the Council of the need to do so or enhance and supplement those that it does provide.

Discretionary Relief – non-profit organisations including recreation – the Council’s policy

The Council will consider applications for discretionary rate relief from non-profit making organisations on their own merits on a case by case basis. In determining the application, the following matters will be taken into consideration (the list is not exhaustive):

1. How the organisations supports and links into the Council's corporate vision and priorities; 
2. Whether the facilities provided include education and or training for members as a whole for special groups;
3. The extent to which the facilities provided reduce the demand for Council services or produce savings;
4. Any membership and fee structure and whether the facilities are accessible to all residents, including people with disabilities, OAP’s, minority groups, within the community actively encouraged to join, benefit from, or participate; and
5. All members mainly residents of Bassetlaw and how many Bassetlaw residents directly benefit from the services the organisation provided.

The Council will also require additional financial information including:

1. If the organisation runs a bar or food provision, the level of income from this activity and how this money is used; and 
2. Whether the organisation operates at local or national level and where appropriate, the local and national funding streams and financial position of the organisation.

In view of the changes in legislation from 1st April 2025 which removes certain private schools from receiving mandatory relief, the Council has decided that those establishments will not be granted any discretionary relief.

For the purposes of this change the definition of private school is an educational establishment that provides compulsory full-time education where a fee or other consideration is payable.

Appendix C: Discretionary relief - premises within rural settlements 

In addition to having the ability to grant discretionary relief to those in receipt of mandatory relief, the Local Government and Rating Act 1997 allows discretionary relief of up to 100% to be granted where the rateable value is £16,500 or less and:

1. Property is used for purposes which are of benefit to the local community; and
2. It would be reasonable for the billing authority to award relief, having regards to the Council's Council taxpayers.

As with most discretionary relief, part of the cost, is met by Central Government and the balance from local sources.

The main criteria for granting discretionary relief in respect of rural rate relief is that premises are used to the benefit the local community.

What rural settlements exist within the Council's area? 

Benefit to the local community

Whilst each application for the relief will be considered on its own merits, there are certain factors which weigh heavily in the decision- making process. It is this Council's belief that the spirit of the legislation is to assist businesses and amenities, which contribute significantly to the quality of life of the people who have their main home in the rural settlement.

To be successful for consideration, a business must show that its existence is a significant benefit to the local community with the majority of local residents directly benefiting from services or facilities provided by that business.

Rural rate relief - the Council's policy for granting discretionary relief 

The Council will also consider applications for a discretionary rural rate relief from all ratepayers, not entitled to mandatory relief up to a maximum of 100%.

In determining the application, the following matters will be taken into consideration:

1. The granting of any discretionary relief will be essential in ensuring the viability of any business within the rural settlement; 
2. The granting of any discretionary relief is proportionate given the level of any business rates charged compared with the overall turnover of the business;
3. The granting of any discretionary relief will assist the business in continuing to be viable and or prevent the business from failing;
4. The business is considered by the Council to be essential to the community and that any reduction or withdrawal of the business will have a serious detrimental effect on the rural settlement; and
5. The granting of any discretionary relief is reasonable having regard to the effect on taxpayers of the Council.

Appendix D: Discretionary Relief - Localism Act 2011

Section 69 of the Localism Act 2011 amended Section 47 of the Local Government Finance Act 1988. These provisions allow all Councils to grant discretionary relief in any circumstances where it feels fit having regards to the effect on the Council taxpayers of its area.

The provisions are designed to give authorities flexibility in granting relief where it is felt that to do so would be of benefit generally to the area and be reasonable given the financial effect to the Council taxpayers. An example where the Council has granted relief in the past or where premises were affected by flooding.

Discretionary Relief – Localism – the Council’s policy

Application will be considered from any ratepayer who wishes to apply.  However, where any ratepayer is suffering hardship or severe difficulties in paying their rates liability then relief can be granted under the existing provisions as laid down by Section 49 of the Local Government Finance Act 1988.  There will be no requirement to grant relief in such cases under the Council’s discretionary relief policy.

Any ratepayer applying for discretionary rate relief under these provisions and who does not meet the criteria for existing relief (charities, non-profit making organisations etc) may apply. When considering an application for rate relief the following factors will be taken into account:

1. That relief is for a temporary period;
2. The significance of potential loss of employment in the area;
3. Opportunities for new business growth, expansion, and employment within the area;
4. The positive effects on business cash flow and evidence of positive impact on future viability;
5. Sufficient evidence of likelihood of recovery of the applicants business;
6. Reassurance of duration of retained employment and continued production/ operation in the area;
7. Uniqueness of service/commodity being provided within the community/district; 
8. What proactive measures the business/organisation is taking to reduce overheads, etc;
9. Measures being taken to reduce their rate liability, for example occupying smaller premises, letting out parts of the building, etc;
10. Consideration will also be given to rate deferral, reprofiling of instalments, arrangements as an alternative method of support;
11. It is in the interests of Council taxpayers as a whole to give relief;
12. Giving rate relief to a business/organisation must be balanced against whether this creates unfair market conditions to the detriment of others;
13. It should also be recognised that one of the main overheads of any business is non- domestic rates and therefore it is reasonable to expect that businesses have made provision to pay this;
14. Businesses can appeal against the rateable value or where there is a material change can apply to the Valuation Office Agency to have the rateable value reassessed, the Council would expect businesses to use this mechanism first; and
15. Payment record history will be taken into account.

Relief will be withdrawn/cancelled it:

1. The conditions or circumstances on the basis on which the relief was granted change or fail to materialise, or the information submitted as part of the application proves to be misleading;
2. The applicant ceases to be the ratepayer; or
3. Business/organisation ceases to trade (in case of occupied rates) or downscales operations and workforce in contraventions of any agreement; or
4. The use of the property changes.

A formal application from the ratepayer will be required in each case and any relief will be granted in line with subsidy requirements as specified within this policy.

In view of the changes in legislation from 1st April 2025 which removes private schools from receiving mandatory relief, the Council has decided that those establishments will not be granted any discretionary relief.

For the purposes of this change the definition of ‘Private School’ is an educational establishment that provides compulsory full time education where a fee or other consideration is payable.

Appendix E: Supporting Small Business Relief

General explanation

For the financial years 2026/27 to 2028/29, the Government will, in line with the eligibility criteria set out below, reimburse the Council if it uses its discretionary relief powers under Section 47 of the Local Government Finance Act 1988 (as amended), to grant 2026 Supporting Small Business Relief.

It will be for the Council, which administers the 2026 Supporting Small Business Relief (2026 SSSBR), to adopt a local scheme and determine in each individual case when, having regard to this guidance, to grant relief under Section 47.

Central Government will reimburse the Council and major precepting authorities for the actual cost to them under the rates retention scheme of the 2026 Supporting Small Business Relief that falls within the definitions in this policy.

Who is eligible for the 2026 Supporting Small Business Relief (2026 SSSBR) and how much relief will be available?

2026 SSSBR will help those ratepayers who at revaluation are seeing large increases in their bills as a result of losing some or all of their Small Business Rate Relief, Rural Rate relief, 40% Retail Hospitality and Leisure Relief and/or 2023 SSSBR.

Charities and Community Amateur Sports Clubs, who are already entitled to mandatory 80% relief are not eligible for 2026 SSSBR.

To support these ratepayers, 2026 SSSBR will ensure that the increase in the bills of these ratepayers is limited to a cash value of £800 per year or the relevant caps within transitional relief, whichever is the greater. This cash maximum increase ensures that ratepayers do not face large bill increases in 2026/27. after transitional relief and small business rate relief (as applicable) have been applied.

For those ratepayers receiving 2023 SSSBR relief in 2025/26, any eligibility for 2026 SSSBR will end on 31st March 2027.

A change of ratepayer will not affect eligibility for the Supporting Small Business Scheme but eligibility will be lost if the property becomes occupied by a Charity or Community Amateur Sports Club.

There is no second property test for eligibility for the 2026 SSSBR scheme.  However, those ratepayers who, during 2025/26, lost entitlement to Small Business Rate Relief (because they failed the second property test) but have, under the rules for Small Business Rate Relief, been given a 12 month period of grace before their relief ended (or from 27/11/25 3 years) – can continue to the 2026 SSSBR scheme for the remainder of their period of grace.

Sequence of reliefs

Hereditaments eligible for Charity or Community Amateur Sports Club relief or hereditaments which are unoccupied are not eligible for 2026 SSSBR.  For the avoidance of doubt, small business rate relief or rural rate relief will not be applied to further reduce the bill found under 2026 SSSBR (to avoid the double counting of relief).

If the hereditament became vacant then, after the initial period of 100% empty property relief, the bill would again pick up the SSB cap (annualised).  This would apply despite the fact that, while the property was unoccupied, Small Business Rate Relief would not apply.  In that case the value of the 2026 SSBR would merely increase to maintain the (annualised) cap.

All other discretionary reliefs, including those funded by Section 31 grants, will be considered after the application of 2026 SSSBR.

Subsidy control

The 2026 SSSBR is likely to amount to a subsidy. Therefore, any relief provided by the Council under this scheme will need to comply with the UK's domestic and international subsidy control obligations.

To the extent that the Council is seeking to provide relief that falls below the Minimal Financial Assistance (MFA) thresholds, the Subsidy Control Act allows an economic actor (e.g. a holding company and its subsidiaries) to receive up to £315,000 in a three-year period (consisting of the 2026/27 year and the two previous financial years).

In those cases where it is clear to the Council that the ratepayer is likely to breach the MFA limit then the Council will withhold the relief. Otherwise, the Council may include the relief in bills and ask the ratepayers, on a self-assessment basis, to inform the Council if they are in breach of the MFA limit.

MFA subsidies £100,000 are subject to transparency requirements. This is not cumulated per beneficiary but applies per subsidy award. This means that for every individual subsidy provided of more than £100,000, the Council will include details of the subsidy on the subsidy control database.

Recalculations of reliefs

As with all the reliefs, the amount of SSSBR warded will be recalculated in the event of a change of circumstances. This could include, for example, a backdated change to the rateable value or to the hereditament. This change of circumstances could arise during the year in question or during a later year.

Therefore, when making an award for SSSBR, the Council will ensure the conditions of the award that the relief are subject to the property's continuing eligibility.  If the use of the property changes so that it is no longer eligible, the relevant chargeable amount must be recalculated to reflect that fact.

The Council will also ensure that the scheme provides that eligibility for those ratepayers previously in the 2023 SSSBR scheme in 2025/26 are eligible for one year of relief only and that the relief will then be withdrawn from those ratepayers on 31st March 2027 without further notice.

Supporting Small Business Relief – the Council’s policy for granting discretionary relief

The Council has decided to grant relief strictly in accordance with Central Government guidelines.

Appendix F: Pubs and Live Music Venues Relief

General Explanation

For the financial years 2026/27 to 2028/29 the Government will, in line with the eligibility criteria set out below, reimburse the Council if it uses its discretionary relief powers under Section 47 of the Local Government Finance Act 1988 (as amended), to grant Pubs and Live Music Venue Relief.

For the financial year 2026/26 the government announced that eligible pubs and live music venues in England will receive a 15% reduction on their business rates bills.

The government also announced that eligible pubs and live music venues business rates bills would be frozen in real terms in 2027/28 and 2028/29. Separate guidance will be provided for the delivery of that measure ahead of the relevant financial years. 

This appendix relates to the provision of a 15% relief for 2026/27.

How will the relief be provided? 

It will be for the Council, which administers the scheme to adopt a local scheme and determine in each individual case when, having regard to the guidance, to grant relief under Section 47.

Central Government will reimburse the Council and major precepting authorities for their loss of income under the rates retention scheme as a result of awarding Pubs and Live Music Venues Relief that falls within the definitions in this policy using a grant under Section 31 of the Local Government Act 2003.    

Which properties will benefit from relief?

Eligible hereditaments are occupied hereditaments which on a chargeable day are wholly or mainly used as a pub or a live music venue.

How much relief will be available? 

Relief will be calculated on a daily basis using the formula V x 0.15 where V is the daily charge after the application of any mandatory relief and certain other discretionary reliefs. This should be calculated ignoring any prior year adjustments in liabilities. Relief is not subject to any cap or the Minimal Financial Assistance limit in Subsidy Control.

Sequence of Reliefs

The relief should be applied after mandatory relief and other discretionary reliefs funded by section 31 grants. Former categories of discretionary relief available prior to the Localism Act 2011 should be applied before pubs and live music venues relief. In cases where the Council has used it’s wider discretionary relief powers which are not funded by section 31 grants this should be applied after pubs and live music venues relief.

Subsidy Control

The Pubs and Live Music Venues relief is likely to amount to subsidy. The government will take appropriate steps to comply with the Subsidy Control Act 2022 and international subsidy control rules.

Any award of this relief made in accordance with the government guidance is consistent with subsidy control principles. As the relief forms part of a wider subsidy scheme, if the Council is satisfied that an award complies with the guidance, it is not required to conduct their own assessment of the award against subsidy control principles. An individual award of relief which complies with the guidance is insulated from legal challenge under the Subsidy Control Act. There is no cap on the value of business rates relief awarded, subsidies awarded under the scheme do not constitute nor contribute to Minimal Financial Assistance.

The Council has an obligation to report individual reliefs over £100,000. This is not cumulated per beneficiary but applies per subsidy award. It is also not cumulated with the subsidy awarded in the form of the lower Retail, Hospitality and Leisure multipliers. This means that for every individual subsidy provided of more than £100,000, the Council will need to include details of the subsidy on the subsidy control database.

Recalculations of relief

The amount of relief awarded will be recalculated in the event of a change of circumstances.  This could include, for example, a backdated change to the rateable value or the hereditament. This change of circumstances could arise during the year in question or during a later year.

Eligibility for the Pubs and Live Music Venues Relief 

Pubs

A pub is considered to mean a hereditament where all of the following criteria apply. A hereditament that:

1. is open to the general public
2. allows free entry other than when occasional entertainment is provided
3. allows drinking without requiring food to be consumed
4. permits drinks to be purchased at a bar.

For these purposes, the meaning of a pub does not include:

1. restaurants, cafes, nightclubs, snack bars
2. hotels, guesthouses, boarding houses
3. sporting venues
4. festival sites, theatres, cinemas
5. museums, exhibition halls
6. casinos

The proposed exclusions in the list in the paragraph above is not intended to be exhaustive   and it will be for the Council to determine those cases where eligibility is unclear.

Where eligibility is unclear the Council should also consider broader factors in their assessment – i.e. in meeting the stated intent of the policy that it demonstrates the characteristics that would lead it to be classified as a pub by the natural meaning of the word. For example: being owned and operated by a brewery; establishments that are open to wide sections of local communities and practically operate as a pub for that local community e.g. working men’s club.

Live music venues

A live music venue is considered to mean a hereditament that:

1. Is wholly or mainly used for the performance of live music for the purpose of entertaining an audience
2. Can be used for other activities but only if those other activities:
   • are ancillary or incidental to the performance of live music (e.g. the sale of food or drink to audience members)
   • do not affect the primary use of the premises for the performance of live music (e.g. because the activities are infrequent such as use of the venue as a polling station or fortnightly community event)

Properties are not a live music venue for the purpose of this relief if the property is wholly or mainly used as a nightclub or a theatre, for the purposes of the Town and Country Planning (Use Classes) Order 1987 (as amended).

There may be circumstances where it is difficult to tell whether an activity is a performance of live music or, instead, the playing of recorded music. Although we would expect this to be clear in most circumstances, guidance on this may be found in Chapter 16 of the statutory guidance issued in April 2018 under section 182 of the Licensing Act 2003.

Pubs and Live Music Venues Relief - the Council's policy for granting discretionary relief

The Council has decided to grant relief strictly in accordance with Central Government guidelines.

Appendix G: Section 49 - Hardship Relief

General Explanation 

The Council is able to exercise its discretion under Section 49 of the Local Government Finance Act 1988 to provide either partial or full relief for non-domestic rate payments in cases of hardship where it would be reasonable to do so having due regard to the interests of Council taxpayers in general.

Section 49 Hardship Relief - the Council's policy 

The Council will consider applications for hardship relief from individuals and organisations based on their own merits on a case-by-case basis. The Revenues Manager will consider application and you can apply in writing or by emailing business.rates@bassetlaw.gov.uk 

In making decisions on whether to award the relief, the Council takes into account the following criteria (not listed in any priority). Please take note of this criteria and provide any information you wish to be considered alongside your application.

1. Any reduction or remission of rates on the grounds of hardship should be the exception rather than the rule;
2. Any reduction of the rates must be shown to be significant to the future viability of the business;
3. The business must continue to trade;
4. Cash flows forecasts for a minimum of the next twelve months must be provided together with a comprehensive Business Plan incorporating a brief history of the business;
5. The test of ‘hardship’ is not strictly confined to financial hardship and that this, in itself, is not a deciding factor;
6. The loss of the business would reduce amenities of an area if it is the sole provider of a service in the area;
7. Details of any subsidy, grants or subsidies either from central or local government over the previous three years;
8. The loss of the business would worsen the employment prospects in the area;
9. The interests of the Council taxpayers of the area would be best served by awarding the relief;
10. The business must demonstrate how it is beneficial to the local community and why it is currently suffering financial hardship;
11. The business provides employment to local residents in an area where employment opportunities are limited;
12. Independent advice given by banks or financial advisors should be sought to demonstrate the future viability of the business; and
13. Applications will only be considered where signed by the ratepayer, or, where an organisation is the ratepayer, an appropriately authorised representative of the organisation; and 
14. The ratepayer will provide additional information as deemed necessary by the Council to be essential in order for a fair evaluation of the application.

Appendix H: Section 44a - Partially Occupied Hereditament

General Explanation

Under Section 44a of the Local Government Finance Act 1988, a Council has the discretion to allow rate relief where a property is partly occupied for a temporary period.  Partially occupied rate relief (also referred to as Section 44a Relief) is not intended to be used where part of a property is temporarily not used.  The intention is aimed at situations where there are practical difficulties in occupying or vacating part of the property.

Application 

All applications must be submitted using the online application form, available on our Business Rates Online Services page.

The Council will require access to the property during normal working hours to verify the application. Further access will be required on an ad hoc basis during the period the relief is awarded.

Relief will not be awarded where it is not possible to verify the application from the commencement of the period to which the relief applies.

Period of Award

Section 44a Relief will only be applied to a property that is partly occupied for a temporary period.  Maximum for retails premises .ie. shops, is three months.  Maximum for industrial premises i.e. warehouses is six months.

Section 44a Relief will end under the following circumstances:

• At the end of a financial year, regardless of the date relief was applied;
• Where all or part of the unoccupied area becomes occupied;
• The liability for Business Rates changes.

Authorisation of Section 44a Relief

A report, written by the Business Rates Team Leader with a recommendation, is passed to the Chief Finance Officer. In line with the Council’s scheme of delegation, the decision will be made by the Chief Finance Officer with agreement of Cabinet Member of Finance.

Calculation of Section 44a Relief

When the application has been verified and authorised by Chief Finance Officer, the Council will apply to the Valuation Office Agency who will then supply the rateable value of the unoccupied and occupied areas.  Notification of the decision will be made in writing to the applicant and where relief is refused, an explanation of the reasons why will be given.

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Last Updated on Tuesday, June 2, 2026