Relief for occupants of new office and workspace

The relief scheme will apply to businesses that occupy:

• newly built office and workspace put on the market for sale or rent for the first time
• new office and workspace created from converting underused warehouses or storage premises, and put on the market for sale or rent for the first time

Policy and eligibility criteria

Business rates relief for occupiers of new or recently converted commercial offices and workspaces in Haringey (B1 Use Class)

Under Section 47 of the Local Government Finance Act (1988), (as amended by Section 69 of the Localism Act (2011)), Haringey Council has the discretionary power to award relief on business rates where “it is satisfied that it would be reasonable for it to do so, having the regard to the interests of persons liable to pay council tax set by it”.

A discount on business rates will be given for occupiers of new or recently converted commercial premises used for B1 Use Class purposes if they can demonstrate that they satisfy parts A to C of the criteria below.

Should all parts of the criteria be satisfied, Haringey Council will use its discretionary power to offer 30% relief against the annual amount of business rates due to be paid by the occupier. The full 30% relief period would last for 3 consecutive financial years, inclusive of the financial year in which the relief is awarded.

This relief scheme is to be applied borough-wide. Where possible, Haringey Council will in advance identify key strategic sites and areas that are likely to match the eligibility criteria for this relief should they become commercially developed and occupied in the future.

Requirements for occupier to satisfy

Part A – pre-qualifying conditions

To be eligible to be considered for discretionary relief, the occupier must be:

1. Occupying rateable premises in Haringey.
2. Not subject to investigation by the relevant regulator.
3. a) If the applicant is a company limited by guarantee, able to evidence that accounts are up to date and filed with Companies House
   b) If the applicant is structured in another way, able to evidence a robust business plan which highlights how the premises they occupy assists in the delivery of the organisation’s objectives
4. Not already receiving discretionary relief from the Council.
5. Not receiving more public-funded aid than EU State Aid de Minimus rules permit. An organisation must not have received public-funded aid to support commercial activities exceeding a total of 200,000 Euros over a 3 year period – this includes all reliefs, grants, subsidies and guarantees received from public bodies

Part B – occupying a premise for B1 Use Class purposes

Commercial space usage that falls into the B1 Use Class includes:

• offices which are not within A2 Use Class (this excludes financial, professional and other services appropriate to a shopping area, where the services are provided principally to visiting members of the public)
• research and development of products and processes – includes studios, work spaces and laboratories
• light industrial use – which could be carried out in any residential area without detriment to the amenity of that area by reason of noise, vibration, smell, fumes, smoke, soot, ash, dust or grit

Use Class B1 is defined by the Town and County Planning Order (Use Classes) 1987.

Part C – occupying new or recently converted premises

The occupier needs to satisfy 1 of the following conditions:

1. They are occupying newly built commercial premises: ‘Newly built’ is to be defined as new and additional commercial floorspace, that has been put on the open market for sale or rent for the first time within the previous 12 months

OR

2. The organisation is occupying premises that have been recently converted to be suitable for B1 use class: ‘Recently converted’ is to be defined as commercial floorspace that was previously used for B2-B8 Use Classes (industrial and storage warehousing), that has undergone a conversion into B1 use class and within the previous 12 months has been put on the open market for sale or rent for the first time.

There is an expectation that an occupier receiving discretionary relief on their business rates under this criteria would engage and work positively with Haringey Council on helping to support corporate priorities and bring benefits for residents and the local area.

Before making the offer of relief, an initial meeting will be arranged between appropriate Haringey Council officers (with an economic development and regeneration focus) and the occupier to discuss how both parties can work together going forwards to bring value and benefits for local residents.

Making the decision over offering discretionary business rates relief

Haringey Council will set out an application process for discretionary business rates relief that all organisations wanting to be considered will have to undertake. The application form and process will be reflective of the criteria and guidance outlined in this policy document.

If after assessing an application Haringey Council decides not to offer discretionary business rates relief, it will give its reasons for not doing so in writing to the applicant.

Under the Local Government Finance Act (1988) there is no right of appeal against the Council’s use of discretionary powers. However, the council will accept a ratepayer’s written request for a further review of the decision if:

• the applicant has concerns that the decision has not been made within the framework set out in this policy document
• this is supported by further written information or evidence and made within 1 calendar month of the decision

Any review would be taken by a different person from the person who made the decision to which the review relates, and shall normally be carried out within 28 days from the date that the review request is received by the council.

Application form

To apply: download, complete and return the form to business.rates@haringey.gov.uk with all requested documents.

New office and workspace application form

• New office and workspace application form (docx, 4 page(s), 42.33 KB)
• New office and workspace application form (pdf, 4 page(s), 120.73 KB)