When it comes to owning and managing a listed building, there are many factors that need to be considered. From preserving its historical integrity to maintaining its structural integrity, there is a lot that goes into ensuring these buildings are well taken care of. One aspect of owning a listed building that often gets overlooked is the business rates that come with it, especially when the property is empty.
Listed buildings are protected by law due to their historical or architectural significance. This means that any alterations or renovations must be approved by the local planning authority in order to preserve the building’s character. However, these buildings can often require expensive maintenance and upkeep, which can be challenging for property owners. In addition to this, empty listed buildings are subject to business rates, which can add an extra financial burden to the property owner.
Business rates are a tax that is charged on most non-domestic properties, including commercial buildings and some empty properties. The rates are based on the rateable value of the property, which is determined by the Valuation Office Agency (VOA). This rateable value is then multiplied by the annual multiplier set by the government to calculate the final amount that the property owner must pay.
When it comes to empty listed buildings, the business rates can be a significant expense for property owners. In some cases, the rates can be as much as 100% of the property’s rateable value, which can be a huge financial burden for owners who are already struggling to maintain the building. This can create a Catch-22 situation for property owners, as they are required to pay high business rates on a property that may not be generating any income.
There are, however, some exemptions and reliefs available to property owners who own empty listed buildings. For example, properties that are undergoing major structural repairs or are being held for future use may be eligible for a 100% exemption from business rates for a set period of time. Additionally, properties that are listed on the Statutory List of Buildings of Special Architectural or Historic Interest may be eligible for a 50% discount on their business rates.
These exemptions and reliefs can help to alleviate some of the financial burden of owning an empty listed building, but they can be difficult to navigate and apply for. Property owners must be proactive in seeking out these exemptions and ensuring that they are taking advantage of any relief that may be available to them.
One potential solution to the issue of business rates on empty listed buildings is to incentivize property owners to bring their buildings back into use. By offering tax breaks or subsidies for owners who restore and redevelop their empty listed buildings, the government could encourage more property owners to invest in preserving these historical structures.
Another solution could be to revisit the way in which business rates are calculated for empty listed buildings. By taking into account the unique challenges and expenses associated with maintaining these properties, the government could adjust the rates to be more equitable for property owners.
In conclusion, business rates on empty listed buildings can be a significant financial burden for property owners. However, by exploring the exemptions and reliefs that are available, property owners can lessen the impact of these rates. Additionally, implementing incentives and changes to the way business rates are calculated for empty listed buildings could help to support property owners in preserving these important historical structures. It is essential that property owners are aware of their options and take advantage of any relief that may be available to them in order to protect and maintain these valuable pieces of our architectural heritage.