Changes to NDR revaluations

Category: Leisure - Posted On: Dec 14 2021


In response to concerns with the non-domestic rates (NDR) system in Scotland, the First Minister established an independent review group (the Barclay Review) in 2016 to consider how the rates system could better support business growth and long-term investment, and reflect changing market places.

As a result of this review, the Non-Domestic Rates (Scotland) Act 2020 was passed by the Scottish Parliament on 5 February 2020. The changes include:

  • Revaluations to be carried every three years, instead of five. This will help ensure that the rateable value (RV) of properties will be much more closely aligned to current market values, thereby reducing volatility in the RV and making the system more flexible to changing economic circumstances.
  • A standardised bill has been introduced by councils to improve clarity and consistency across Scotland.
  • Councils to process refunds to ratepayers for overpayment of rates more quickly.
  • Greater transparency across the country, including improvements to the www.saa.gov.uk website.
  • Assessors will be required to provide more and clearer information to ratepayers on how a property’s RV has been calculated from the next revaluation.

For the majority of businesses on NDR, assessors look at the rent which businesses pay for their premises. Self-catering businesses however do not have a sufficient amount of let subjects, so the assessors seek a typical income and expenditure pattern. They will ask for income, expenditure and profit over the previous 3 years, and the type of accommodation (house / flat / chalet). The next revaluation which has been rescheduled for 1 April 2023 but it is good practice to take the time to keep your bookkeeping and records in order and ensure that they are up-to-date, to ensure that all relevant income and costs are properly accounted for.

Our Leisure specialist can supply detailed management reports that will be tailored to suit your business and our Virtual Finance Office (VFO) can offer bookkeeping support tailored to your individual situation.

We act for many self-catering businesses throughout Scotland and are proud Trade Suppliers Plus members of ASSC, who work closely with the assessors before, during and after each revaluations. To discuss how our EQ Leisure team can help your self-catering business, or to find out more about our VFO, please email leisure@eqaccountants.co.uk or call one of our offices.