The Non-Domestic Rating Act 2023 became law in the Autumn of 2023, affecting all occupiers, owners and investors in commercial property. It introduces a number of changes to the Business Rates system, some of which will fundamentally change the way ratepayers need to manage their businesses. These changes range from minor to critical, with the most important one being the new ‘duty to notify’. This duty takes immediate effect, although there is not yet a mechanism through which anyone can actually comply, but it requires all ratepayers to notify the Valuation Office Agency (VOA) of any change to a property they are responsible for, whether it has an existing rateable value or not, within 60 days of the change. This means any physical change to a property such as an extension or the installation of air conditioning will need to be notified. Tenure changes may also fall under this new amendment, such as a lease renewal or a rent review, but this remains to be confirmed. This new legislation signals a step towards self-assessment and will fundamentally change the way ratepayers and prospective rate payers operate.
