Councillor Phil Davies introduced a report by the Head of Business Processes which sought the Cabinet’s approval to retain the level of award given under the Discretionary Rate Relief Policy to support appropriate organisations that were the current relief recipients of Non Domestic Rates.  It was proposed to  retain the original eligibility criteria to 31 March 2016 for the current recipients.  The Cabinet was informed that a further report would be presented to it in early in 2015 setting out revised criteria to be immediately introduced for new applicants and for current recipients for 2016/17 giving this latter category the statutory 12 months notice of a change. 

The Council’s policy for awarding discretionary rate relief for non-domestic rate payers was based on Section 47 of the Local Government Finance Act 1988 and the NNDR (Discretionary Relief) Regulations 1989.  Central Government had periodically issued guidance urging local authorities to exercise their power of granting relief generously to organisations which satisfied the criteria and this had broadly been adopted by the Council and was attached to the report as Appendix 1.

The policy had its foundation in a report to a meeting of the then Policy and Resources Committee on 24 January 1990, as amended in December 1992, that 100% discretionary rate relief be given to certain non profit making voluntary or sporting organisations which broadly fitted the criteria laid down.  Members reviewed the policy in 2008 and again in February 2011 and amended the criteria to take account of smaller properties being given Small Business Rates Relief.

The Cabinet noted that Discretionary Rate Relief tended to be awarded to three different categories of organisation:

a.  Charities that currently receive 80% mandatory relief may receive the additional 20% as top up discretionary relief.

b.  Organisations not established or conducted for profit may receive up to 100% discretionary rate relief.

c.  Eligible ratepayers situated in a designated rural settlement currently receive 50% mandatory relief topped up by the additional 50% rate relief at the discretion of the Council.

The Cabinet also noted that Discretionary Rate Relief had been funded by the Council and Central Government as follows:

·  Where Mandatory Relief of 80% was awarded and topped up by 20% Discretionary Relief.  The 20% discretionary rate relief element was funded 75% by the Council and 25% by Central Government.  The Council thus paying 15% of the total rates bill.

·  Where Discretionary Relief of 100% was awarded the relief was funded 25% by the Council and 75% by Central Government.

The report detailed the split of recipients at 31 March 2014.

RESOLVED: That

(1)  the Discretionary Rate Relief Policy (as set out in Appendix 1 to the report) be approved as the Council’s Policy from 2014/15 for current relief recipients;

(2)  the level of Discretionary Rate Relief to be awarded for current qualifying recipients be a maximum level of 100% for Discretionary Relief only cases and in cases where Mandatory Relief of 80% is awarded the additional discretionary top up be 20%.  This will be  ...  view the full minutes text for item 82