Business Rates, HELP!


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Well-Known Member
May 12, 2003
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Help me please!

As you all know, it is my first year of running my own Salon, I am now in my 6th month of trading.

However, they have just put up my Business rates, and it is already a lot of money!

I am getting customers in, but like I say, I am only in my 6th month so I can't expect a miracle and have to be patient. Now they have put it up and it is coming up to the quieter part of the year I am scared I won't be able to afford it.

Is there a rebate you can get if you are a small fresh business like me? You know, like if you are a single parent you can get a tax rebate.

If anybody knows or has any advice then please help me because even though I know I will work through it, I am panicking like crazy!

Thank You all in advance,

Victoria x
I do know that in within Glasgow City Council there are opportunities for a substantial reduction in rates but it is dependant on the size of your shop not the amount of turnover - this will probably vary from council to council - I know the government has tried to push councils to help small businesses with their rates. Suggest you contact your local rates office and ask their advice. Good Luck, Fiona

It is good advice to go to your rates office and speak to them, however my experience is that it does not help. The rateable value of a property is set every five years, the local council then applies a "multiplier" (set by the government) of so many pence in the pound to produce your business rates bill. So, for example, if the rateable value of your property is set at £10,000 and the government multiplier is 50p then your rates will be 10,000 X 0.5 (50p) = £5000.
Be very careful of companies which offer to reduce your rateable value for a fixed fee plus commission, they will do this but this does NOT give you an immediate reduction in your rates bill.
The reason for this is that the local council will only reduce/increase your annual bill by a small amount each year (until the next 5 yearly valuation).
So what happens is you pay the company (say) £400 for the surveyor to come in and survey your property. The agreement says you will also pay them (say) 25% of any reduction in your rateable value and you are happy because you think you are going to get a large reduction in the actual rates you pay.
You get a further bill for (say) £250 because they have reduced your rateable value by £1000 and you think "great" and wait for your reduced bill from the council. Unfortunately when you get your new bill you find that the council has applied a "transitional surcharge" and your bill is the same. The council will tell you that this surcharge is to protect you so they cannot put the bill up too much too quickly (but if you believe that .............).
It is one of the most frustrating things I have come across because what in effect is being said is "yes, we admit we have been overcharging you but because we have been doing that we have to overcharge you again this year". I was advised to take the matter up with my local MP but I knew that would be a complete waste of time so didn't bother.

OK, hope that is understandable, if you are not sure of anything please ask (and yes I do speak about this from bitter experience !!!)

Mark .Y.
Thank You very much for the above replies, I appreciate it.

Does anybody else have any help or advice for me?

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