CBRE comments on Scottish Budget Rates Relief announcement

Brian Rogan, head of business rates in Scotland for CBRE

As part of Scotland’s 2022 Draft Budget, Cabinet Secretary for Finance and the Economy Kate Forbes made an announcement relating to Non-Domestic Rates Relief in Scotland currently offered to businesses occupying retail, hospitality, and leisure properties.

From April 2020 businesses occupying properties in these sectors have been able to claim 100% relief but that was due to end on 31st March 2022. The Cabinet Secretary announced that from April 22 she will continue to offer rates relief to businesses occupying properties in these sectors for a further 3 months at 50% of the occupied liability. The relief will be capped however at a max of £27,500 per business.

The Cabinet Secretary also announced that the rates poundage rate in Scotland will see a below inflation rise from 49p to 49.8p next year.

Commenting on the announcements, Brian Rogan, head of business rates in Scotland for CBRE, said: “We wrote to the Cabinet Secretary this week to reiterate calls from other business organisations that further rates relief support was needed for retail, leisure and hospitality sectors to help with the ongoing challenges of the pandemic.

“The cabinet secretary did make it abundantly clear that today was a budget of choices and we are glad one of those choices was to continue to offer support to the retail, hospitality and leisure sectors with the extension of rate relief however there will be worries from many businesses in those sectors with multiple properties that the cap per business will be insufficient to keep all their premises viable.”