Denham launches public building rates probe

19/03/10 12:24 pm By Nick Johnstone

Communities secretary John Denham has launched an investigation into the way the Lands Tribunal values publicly-funded buildings including museums, galleries and sports venues for rating purposes.

Previously, the Valuation Office Agency could reduce a property’s business rates bill if it was constructed with the help of a grant.

However, the Lands Tribunal has decided that now they will not be able to do this.

More than 100 public buildings could be hit with rates bills higher than expected under this new system.

It is expected to affect an estimated 3% of the 1,500 museums in England.

Denham has ordered an investigation of the court decision, working closely with the independent VOA to understand the full implications in more detail.

The government says it is now urgently carrying out an assessment of possible options, including whether legislative action could be appropriate.

Business rates story – museums, galleries and sporting venues – Communities and Local GovernmentComparatively few museums, galleries and sporting venues are potentially affected (an estimated 3 per cent of the approx 1,500 museums in England, an estimated 0.2  per cent of the approx 21,000 sporting facilities in England),

Ministers have ordered an investigation of the court decision, working closely with the independent VOA to understand the full implications in more detail.

The Government is now urgently carrying out an assessment of possible options, including whether legislative action could be appropriate.

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