The Scottish Government recently outlined changes to the administration of Non-Domestic Rates for the financial year 2024/25.
They are as follows:
Poundage rates - 2024/25
The Basic Property Rate has been frozen with Intermediate and Higher rates being increased in line with inflation.
| Property Rate | Rateable Value (RV) | Poundage |
|---|---|---|
| Basic | Up to £51,000 | 49.8 pence |
| Intermediate | £51,001 to £100,000 | 54.5 pence |
| Higher | £100,001 and above | 55.9 pence |
Small Business Transitional Relief
As previously announced in last year’s budget, any increase in rates for 2024/25, due to changes to the Small Business Bonus Scheme, will be capped at £1200. In 2023/24 the increase was limited to £600.
Revaluation Transitional Relief
The scheme caps the annual increase, due to the 2023 Revaluation (in cash terms), to 25% for properties up to £20,000; 50% for properties with a rateable value between £20,001 and £100,000 and 75% for properties with a rateable value of over £100,000.
| Rateable Value (RV) | |
|---|---|
| Small (up to £20,000) | 25% |
| Medium (£20,001 to £100,000) | 50% |
| Large (Over £100,000) | 75% |
Parks Transitional Relief
In 2024/25 the scheme will provide 33% relief for parks or parts of parks that became rateable on 1 April 2023. In 2023/24 67% relief was available.
Exemptions and Reductions
Enterprise Areas
Relief was due to expire on 31 March 2024. It will now be phased out over 2024/25 and 2025/26 with revised amounts of relief being awarded:
| Rateable value | Percentage of rates relief for 2024/25 |
|---|---|
| £120, 000 or less | 66.7% |
| More than £120,000 but not exceeding £240,000 | 33.3% |
| More than £240,000 but not exceeding £480,000 | 16.7% |
| More than £480,000 but not exceeding £1,200,000 | 6.7% |
| More than £1,200,000 but not exceeding £2,400,000 | 3.3% |
| More than £2,400,000 | 1.7% |
