Find out what business rates are, how they are calculated and why some businesses have to pay a supplement.
Business rates 2020 / 2021 (Covid -19)
The Council is urgently updating its business rates collection practices in response to COVID-19. The Government has also announced that it would provide additional business rate support to some small businesses.
Businesses in the hospitality, leisure and retail sectors, regardless of Rateable Value, will pay no business rates during the coming year as relief of 100% will be granted. The measure includes shops, cinemas, restaurants, museums art galleries, theatres, gyms, small hotels, sport clubs, day nurseries and night clubs.
This is expected to benefit over 2,300 businesses in Newham. The Council will identify eligible businesses and automatically apply the relief and issue adjusted bills, as quickly as the software suppliers can make the necessary changes. Whilst the Council awaits these changes, we are actively cancelling direct debits for those businesses that will qualify, so as to avoid further financial impact.
Any company eligible for small business rates relief will be eligible for grant of £10,000. Businesses in the retail, hospitality and leisure sectors with rateable values of up to £51,000 will be eligible for a £25,000 grant. It is not yet clear when or how businesses will access the grant, as the Council are still awaiting the details from Central Government. This could benefit up to 6,706 businesses in Newham and we will draw up a scheme as quickly as possible.
The Council’s business rates team will also be moderating recovery action whilst the current situation persists, and are on hand to deal with any enquiries from businesses.
We know that this unprecedented situation is very difficult so please get in touch if you need any further clarity or if you wish to discuss your account on 0208 430 3250 or [email protected]
The situation and government guidance is changing very rapidly and we will update this information as things change.