Business rates are often one of the most expensive outgoings for clubs that occupy facilities so it pays to make sure you understand the issues.
Business rates, or more formally, National Non-Domestic Rates (NNDR), are payable by businesses, including sports clubs, on the property they occupy. Your local authority, also known as your Billing Authority, will send you an annual bill in advance and payment is normally due in 10 monthly instalments, although Billing Authorities can require different payment structures.
The amount a club will pay will firstly depend upon the rateable value of the property. You can find out more about business rates and how your bill is calculated here.
Relief on business rates
Your club may be eligible for relief from some or all of the cost of business rates if:
- Your club is a CASC or Charity Clubs who are CASCs or charities will receive mandatory rate relief of 80%. Sometimes these clubs are also eligible for discretionary relief on top of this, up to a total of 100% relief. This additional discretionary relief depends on your Local Authority.
- Your local authority offers discretionary relief to sports clubs. Your Local Authority may offer discretionary relief to sports clubs. You should contact them to see if this applies in your area and the eligibility criteria.
Managing your rates bill
- Review your current bill and how this is calculated to make sure you aren’t being overcharged
- Be aware that if you are considering making improvements to your club's facilities, such as new floodlights or a clubhouse extension (or have already done so) this may impact on your rates bill. You should include any projected rate increases into your longer term budget.
- Explore whether there are reliefs available that your club can access
If your rates bill is significant, consider seeking professional advice to help you manage this. Your National Governing Body may also be able to provide further support.