Self-Catering: Definitions and Thresholds
These regulations relate to the requirement that, to be classed as self-catering holiday accommodation, premises must be let for a period of at least 70 days in the financial year (in addition to the existing requirement that the premises be available for letting for 140 days or more).
If your property is available for let for under 140 days, it means the property is in the Council Tax system; if it is available for let for over 140 days, it places the property in business rates. In order to be eligible for Small Business Bonus Scheme, you will now have to evidence the property being let for over 70 days per annum.
If you face significant liability increases, then you may be eligible for transitional relief. The level of relief depends on the Rv increase and whether you were in receipt of small business relief or not. If you were in receipt of 100% small business relief then you rates bill will be limited to £600 in 2023, £1,200 in 2024 and £1,800 in 2025. The other transitional relief limits are:
Reliefs need to be applied for rather than provided automatically.
From 1st April 2023, you can get non-domestic rates relief through the Small Business Bonus Scheme if:
Based on the total (cumulative) rateable value of all your non-domestic premises, the following relief is available:
Disclaimer – Guidance Sheets are written by experienced Members of the ASSC and other experts. The information in the ‘Guidance Sheet’ is provided by the ASSC for use by Members in support of their own independent business decisions. It does not constitute advice or instruction for which the ASSC can be held liable in any way whatsoever. All Members and other readers remain responsible for the consequences of any decisions taken whether in the light of information gained from this Guidance Sheet or not.