Non-Domestic Rating Act 2023

SCHEDULE Consequential provision

Section 17 PART 1 Provision consequential on sections 1 to 3 Consequential amendments of the Act 1 The Act is amended as follows. 2 In section 44A (partly occupied hereditaments)— (a) in subsection (1)— (i) after “to apportion” insert “both”; (ii) after “rateable value of the hereditament” insert “, and (where relevant) G as regards the hereditament,”; (iii) after “the apportionment” insert “, or apportionments,”; (b) after subsection (2) insert— (2A) The reference in subsection (1) to G as regards the hereditament is a reference to G calculated in accordance with Schedule 4ZA as regards the hereditament for the day on which the authority makes its requirement. ; (c) in subsection (5), after paragraph (d) insert— (e) paragraph 3 of Schedule 4ZA beginning, or ceasing, to apply in relation to the hereditament. ; (d) in subsection (6)(b), in sub-paragraph (ii), for “section 45A” substitute “paragraph 2 of Schedule 4ZB”; (e) for subsection (7) substitute— (7) In relation to any day for which an apportionment is applicable, Schedule 4ZA has effect as regards the hereditament as if for paragraph 10(2) there were substituted— (2) “A” is— (a) where the day concerned is a day to which paragraph 3 applies, such part of the rateable value shown for the day under section 42(4) as regards the hereditament as is assigned by a relevant apportionment to the occupied part of the hereditament minus such part of G (if any) as is so assigned; (b) in any other case, such part of the rateable value shown for the day under section 42(4) as regards the hereditament as is assigned by a relevant apportionment to the occupied part of the hereditament. (2A) In sub-paragraph (2), a “relevant apportionment” means an apportionment under section 44A(1) which relates to the hereditament and is treated for the purposes of that section as applicable for the day. ; (f) in subsection (8)— (i) in paragraph (b), in sub-paragraph (ii), for “section 45A” substitute “paragraph 2 of Schedule 4ZB”; (ii) in paragraph (c), for “an order under section 45(4A) is” substitute “regulations under paragraph 1(2) of Schedule 4ZB are”; (g) for subsection (9) substitute— (9) In relation to any day for which an apportionment is applicable, Schedule 4ZA has effect as regards the hereditament as if for paragraph 10(2) there were substituted— (2) “A” is the sum of the occupied amount and the unoccupied amount. (2A) The occupied amount is— (a) where the day concerned is a day to which paragraph 3 applies, such part of the rateable value shown for the day under section 42(4) as regards the hereditament as is assigned by a relevant apportionment to the occupied part of the hereditament minus such part of G (if any) as is so assigned; (b) in any other case, such part of the rateable value shown for the day under section 42(4) as regards the hereditament as is assigned by a relevant apportionment to the occupied part of the hereditament. (2B) The unoccupied amount is— (a) where the occupied amount is determined in accordance with sub-paragraph (2A)(a), such part of the rateable value shown for the day under section 42(4) as regards the hereditament as is assigned by a relevant apportionment to the unoccupied part of the hereditament minus such part of G as is so assigned, or (b) where the occupied amount is determined in accordance with sub-paragraph (2A)(b), such part of the rateable value as is assigned by a relevant apportionment to the unoccupied part of the hereditament, divided by the number prescribed by regulations under paragraph 3(9) of Schedule 4ZB (for the purposes of paragraph 1(2) of that Schedule) as it has effect in relation to the hereditament. (2C) In sub-paragraphs (2A) and (2B), a “relevant apportionment” means an apportionment under section 44A(1) which relates to the hereditament and is treated for the purposes of that section as applicable for the day. 3 In section 47 (discretionary relief)— (a) in subsection (1)(b)— (i) omit “sections 43(4) to (6B) and 44 above, sections 45(4) to (4D) and 46 above,”; (ii) for “Schedule 7A” substitute “Schedule 4ZA, 4ZB or 7A”; (b) in subsection (5A), for “none of section 43(6) above, section 43(6B) above and subsection (5B) below applies” substitute “neither paragraph 2 of Schedule 4ZA nor subsection (5B) of this section apply”; (c) in subsection (10) for “section 45A” substitute “paragraph 2 of Schedule 4ZB”. 4 In section 57A (transitional provision for 2005 onwards: England)— (a) in subsection (2)(a) for “, 45A, 54 or 54ZA” substitute “or 54”; (b) for subsection (3) substitute— (3) The provisions are that the chargeable amount is to be such amount as is found in accordance with rules prescribed under this section instead of in accordance with Schedule 4ZA, 4ZB or 5A (as the case may be). ; (c) in subsection (7), for “whose rateable value exceeds” to the end substitute “as regards which A exceeds, and those as regards which A does not exceed”; (d) after that subsection insert— (7A) For the purposes of subsection (7)— (a) “A” has the meaning it has in Schedule 4ZA or 4ZB (as the case may be); (b) a locally listed hereditament is a hereditament for the time being shown in a local non-domestic rating list. 5 In section 58 (special provision for 1995 onwards)— (a) in subsection (2)(a), for “, 45A, 54 or 54ZA” substitute “or 54”; (b) for subsection (3) substitute— (3) The provisions are that the chargeable amount is to be such amount as is found in accordance with rules prescribed under this section instead of in accordance with Schedule 4ZA, 4ZB or 5A (as the case may be). 6 In section 63A (disclosure of Revenue and Customs information), in subsection (4)(b), for “, 54 or 54ZA” substitute “or 54”. 7 In section 67 (interpretation: other provisions)— (a) after subsection (1) insert— (1A) Unless the context otherwise requires, references to ratepayers are to ratepayers within the meaning of section 43, 45 or 54 (as the case may be). ; (b) for subsection (7) substitute— (7) Any paragraph of Schedule 4ZA, 4ZB or 5A applies on a particular day if (and only if) it applies immediately before the day ends. 8 In section 143 (orders and regulations)— (a) in subsection (3), for “(3ZA)” substitute “(3C)”; (b) omit subsections (3ZA) to (3B); (c) before subsection (8) insert— (7A) The power to make regulations under paragraph 3(3) or 6(3) of Schedule 4ZA is exercisable by statutory instrument, and a statutory instrument containing any such regulations may not be made— (a) in the case of regulations relating to England, unless a draft of the instrument has been laid before and approved by resolution of each House of Parliament; (b) in the case of regulations relating to Wales, unless a draft of the instrument has been laid before and approved by resolution of Senedd Cymru. (7B) The power to make regulations under paragraph 8(1)(d)(ii) or 10(9) of Schedule 4ZA is exercisable by statutory instrument, and a statutory instrument containing any such regulations may not be made unless a draft of the instrument has been laid before and approved by resolution of each House of Parliament. (7C) The power to make regulations under paragraph 1(2) or 3(9) of Schedule 4ZB is exercisable by statutory instrument, and a statutory instrument containing any such regulations may not be made— (a) in the case of regulations relating to England, unless a draft of the instrument has been laid before and approved by resolution of each House of Parliament; (b) in the case of regulations relating to Wales, unless a draft of the instrument has been laid before and approved by resolution of Senedd Cymru. (7D) The power to make regulations under paragraph 3(6) of Schedule 4ZB is exercisable by statutory instrument, and a statutory instrument containing any such regulations may not be made unless a draft of the instrument has been laid before and approved by resolution of each House of Parliament. (7E) The power to make regulations under paragraph 3(4) of Schedule 5A is exercisable by statutory instrument, and a statutory instrument containing any such regulations may not be made— (a) in the case of regulations relating to England, unless a draft of the instrument has been laid before and approved by resolution of each House of Parliament; (b) in the case of regulations relating to Wales, unless a draft of the instrument has been laid before and approved by resolution of Senedd Cymru. (7F) The power to make regulations under paragraph 6(8) of Schedule 5A is exercisable by statutory instrument, and a statutory instrument containing any such regulations may not be made unless a draft of the instrument has been laid before and approved by resolution of each House of Parliament. 9 In Schedule 7 (multipliers)— (a) in paragraph 3A(2)(a)(ii), for “section 43(4A) to (4D) above” substitute “paragraph 4 of Schedule 4ZA”; (b) in paragraph 4A(2)(a)(ii), for “section 43(4A) to (4D) above” substitute “paragraph 4 of Schedule 4ZA”. Consequential amendments of other Acts 10 In the Localism Act 2011 omit section 70 (small business relief). 11 In the Postal Services Act 2011, in Schedule 12 (minor and consequential amendments) omit paragraph 131 and the italic heading before it. 12 In the Corporation Tax Act 2010, in Schedule 1 (minor and consequential amendments) omit paragraph 207. 13 (1) The Business Rate Supplements Act 2009 is amended as follows. (2) In section 11 (liability of non-domestic ratepayers), in subsection (3)(a), for “section 45A of that Act (empty properties: zero rating for charities and amateur sports clubs)” substitute “paragraph 2 of Schedule 4ZB to that Act (empty properties: charitable rate relief)”. (3) In section 12 (rateable value condition)— (a) in subsection (5), after “apportionment” in both places it occurs substitute “or apportionments”; (b) for subsection (9) substitute— (9) The rateable value of a hereditament on a day is— (a) in a case where the day on which paragraph 3 of Schedule 4ZA to the Local Government Finance Act 1988 applies in relation to the hereditament, the rateable value of the hereditament shown for that day in the local non-domestic rating list maintained for the billing authority in whose area the hereditament is situated minus G (within the meaning of that Schedule), or (b) in any other case, the rateable value of the hereditament shown for that day in the local non-domestic rating list maintained for the billing authority in whose area the hereditament is situated. (4) In section 13 (chargeable amount)— (a) in subsection (2), for “(3)” substitute “(2A)”; (b) after subsection (2) insert— (2A) If paragraph 2 of Schedule 4ZA to the 1988 Act (charitable rate relief) applies, the amount is calculated by using the formula— A × B C × 5 ; (c) in subsection (3), for “section 43(4B) of the 1988 Act (small businesses)” substitute “paragraph 4 of Schedule 4ZA to the 1988 Act (small business rate relief)”; (d) omit subsection (3A); (e) in subsection (3B), for “section 43(4I) of the 1988 Act (public lavatories) applies” substitute “any of paragraphs 6 (heat networks rate relief), 7 (public lavatories rate relief) or 8 (rural rate relief) of Schedule 4ZA to the 1988 Act apply”; (f) omit subsections (4) and (5); (g) for subsection (6), for “section 45(4A) of” substitute “paragraph 1(2) of Schedule 4ZB to”; (h) omit subsection (6A); (i) in subsection (9) for “section 43(4B), (4F), (4I), (6) or (6B) or 45(4A) or (4D) of” substitute “paragraph 2, 4, 6, 7 or 8 of Schedule 4ZA or paragraph 1(2) of Schedule 4ZB to”. (5) In section 14 (chargeable amount: supplementary)— (a) for subsection (5) substitute— (5) “E” has the meaning it has for the purposes of Schedule 4ZA to the 1988 Act. (5A) “N” has the meaning it has for the purposes of Schedule 4ZB to the 1998 Act. ; (b) in subsection 9(b), for “an order under section 45(4A) of the 1988 Act is” substitute “regulations under paragraph 1(2) of Schedule 4ZB to the 1988 Act are”. 14 (1) The Local Government Act 2003 is amended as follows. (2) In section 50 (approval by ballot of business improvement district proposals), in subsection (6), for the words from “that shown” to the end substitute — (a) in a case where the day of the ballot is a day on which paragraph 3 of Schedule 4ZA to the Local Government Finance Act 1988 applies in relation to the hereditament, the rateable value shown for that day under section 42(4) of that Act as regards the hereditament minus G (within the meaning of that Schedule), or (b) in any other case, the rateable value shown for that day under section 42(4) of that Act as regards the hereditament. (3) Omit section 61 (small business relief). (4) In section 63 (rural settlement lists) omit subsection (2). (5) In section 64 (relief for registered community amateur sports clubs) omit subsection (1). 15 In the Postal Services Act 2000, in Schedule 8 (amendment of enactments) omit paragraph 21 and the italic heading before it. 16 In the Local Government and Rating Act 1997, in Schedule 1 (relief from non-domestic rates for general stores etc in rural settlements: England and Wales) omit paragraphs 2, 5 and 6. 17 In the National Heritage Act 1980, in Schedule 1 (the trustees of the National Heritage Memorial Fund), in paragraph 2 (status), for “Sections 43(6), 45A and 47 of” substitute “Section 47 of, and paragraph 2 of Schedule 4ZA, paragraph 2 of Schedule 4ZB and paragraph 2 of Schedule 5A to,”. Repeals of spent and superseded Acts 18 (1) The following Acts are repealed— (a) the Non-Domestic Rating (Public Lavatories) Act 2021; (b) the Telecommunications Infrastructure (Relief from Non-Domestic Rates) Act 2018; (c) the Rating (Empty Properties) Act 2007; (d) the Rating (Former Agricultural Premises and Rural Shops) Act 2001. (2) The repeal of the Rating (Empty Properties) Act 2007 does not affect the amendments made by paragraph 4 of the Schedule to that Act. PART 2 Provision consequential on sections 5 and 6 19 The Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2022 (S.I. 2022/1403) are amended as follows. 20 In regulation 3 (interpretation), in paragraph (1) omit the definitions of— (a) “early relevant year”; (b) “final relevant year”. 21 (1) Regulation 4 (relevant period, relevant day and relevant year) is amended as follows. (2) In paragraph (1), for “2028” substitute “2026”. (3) In paragraph (3), for “, 2025 or 2027” substitute “or 2025”. (4) Omit paragraphs (4) and (5). 22 In regulation 6 (special authorities), in paragraph (1), for “an early” substitute “a”. 23 (1) Regulation 7 (notional chargeable amount: early relevant years) is amended as follows. (2) In the heading, omit “: early relevant years”. (3) In paragraph (1), for “an early” substitute “a”. 24 In regulation 9 (base liability for early relevant years subsequent to 2023-24), in the heading, for “early relevant years subsequent to 2023-24” substitute “2024-25 and 2025-26”. 25 (1) Regulation 10 (appropriate fraction) is amended as follows. (2) In paragraph (1), for “an early” substitute “a”. (3) In paragraph (7), in sub-paragraph (b), in the opening words, omit “early”. 26 In regulation 11 (application of regulation 12), in paragraph (1), in the words before sub-paragraph (a), for “an early” substitute “a”. 27 In regulation 12 (rules for determining chargeable amount: early relevant years), in the heading, omit “: early relevant years”. 28 Omit regulation 14 (application of regulation 15). 29 Omit regulation 15 (rules for determining chargeable amounts: final relevant year). 30 In regulation 16 (change in rateable value on 1st April 2023), in paragraph (2)— (a) for “: early relevant years),” substitute “) and”; (b) omit “and 15 (rules for determining chargeable amount: final relevant year)”. 31 (1) The Schedule (splits and mergers) is amended as follows. (2) In paragraph 2 (rules for determination of chargeable amount for new hereditament: splits on 1st April 2023), in sub-paragraph (1), omit “early”. (3) In paragraph 3 (rules for determination of chargeable amount for new hereditament: mergers on 1st April 2023), in sub-paragraph (1) omit “early”. (4) In paragraph 4 (rules for determining chargeable amount for new hereditament: splits after 1st April 2023 in an early relevant year)— (a) in the heading, omit “in an early relevant year”; (b) in sub-paragraph (1)— (i) in the words before paragraph (a), omit “early”; (ii) in paragraph (b), omit “and in an early relevant year”. (5) In paragraph 5 (rules for determining chargeable amount for new hereditament: mergers after 1st April 2023 in an early relevant year)— (a) in the heading, omit “in an early relevant year”; (b) in sub-paragraph (1)— (i) in the words before paragraph (a), omit “early”; (ii) in paragraph (b), omit “in an early relevant year”. (6) In paragraph 6 (changes in the value of new hereditament: early relevant year of creation)— (a) in the heading, omit “early”; (b) in sub-paragraphs (1) and (3), for “an early” substitute “a”. (7) In paragraph 7 (notional chargeable amount for new hereditament: early relevant years)— (a) in the heading, omit “: early relevant years”; (b) in sub-paragraph (1) for “an early” substitute “a”. (8) In paragraph 8 (base liability for the early relevant year after the year in which the creation day falls)— (a) in the heading, omit “early”; (b) in sub-paragraph (1), for “an early” substitute “the”. (9) In paragraph 9 (base liability for subsequent early relevant years for new hereditament)— (a) in the heading, omit “early”; (b) in sub-paragraph (1), omit “early”. (10) In paragraph 10 (rateable value: hereditament split or merged after 1st April 2023), in sub-paragraph (2)— (a) after paragraph (a) insert “and”; (b) omit paragraph (c) and the “and” preceding it. PART 5 Provision consequential on section 15 56 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 62 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 67 (1) In Schedule 7 to the Act, Part 2 (special authority’s multipliers) is amended as follows. (2) In paragraph 9 (non-domestic rating multiplier), in sub-paragraph (4), in the definition of “A”— (a) omit “so far as relating to England”; (b) for “Part 1” substitute “Part A1”. (3) In paragraph 9A (small business non-domestic rating multiplier)— (a) in sub-paragraph (2)(b), for “Part 1” substitute “Part A1”; (b) in sub-paragraph (2)(c) omit “, so far as relating to England,”. 68 In section 140(2) of the Act (separate administration in England and Wales)— (a) omit the “, and” at the end of paragraph (a); (b) omit paragraph (b). 69 In section 143 of the Act (orders and regulations), for subsection (9) substitute— (9) The powers to make regulations under paragraph A10(4)(b) or 5(13A) of Schedule 7 are exercisable as mentioned in that Schedule.