Housing Act 1974

Section 118.

SCHEDULE 8 Reduction of Rateable Value in Case of Certain Improvements

1 (1) Where the tenant, or any previous tenant, has made or contributed to the cost of an improvement on the premises comprised in the tenancy and the improvement is one to which this Schedule applies, then, if the tenant serves on the landlord a notice in the prescribed form requiring him to agree to a reduction under this Schedule, their rateable value as ascertained for the purposes of subsection (1) of section 1 of this Act shall be reduced by such amount, if any, as may be agreed or determined in accordance with the following provisions of this Schedule.

(2) This Schedule applies to any improvement made by the execution of works amounting to structural alteration, extension or addition.

2 (1) The amount of any such reduction may at any time be agreed in writing between the landlord and the tenant.

(2) Where, at the expiration of a period of six weeks from the service of a notice under paragraph 1 of this Schedule any of the following matters has not been agreed in writing between the landlord and the tenant, that is to say,—

(a) whether the improvement specified in the notice is an improvement to which this Schedule applies ;

(b) what works were involved in it;

(c) whether the tenant or a previous tenant under the tenancy has made it or contributed to its cost; and

(d) what proportion his contribution, if any, bears to the whole cost;

the county court may on the application of the tenant determine that matter, and any such determination shall be final and conclusive.

(3) An application under the last foregoing sub-paragraph must be made within six weeks from the expiration of the period mentioned therein or such longer time as the court may allow.

3 (1) Where, after the service of a notice under paragraph 1 of this Schedule, it is agreed in writing between the landlord and tenant or determined by the county court—

(a) that the improvement specified in the notice is one to which this Schedule applies, and what works were involved in it, and

(b) that the tenant or a previous tenant under the tenancy has made it or contributed to its cost, and, in the latter case, what proportion his contribution bears to the whole cost, then if, at the expiration of a period of two weeks from the agreement or determination, it has not been agreed in writing between the landlord and the tenant whether any or what reduction is to be made under this Schedule, and the tenant, within four weeks from the expiration of that period, makes an application to the valuation officer for a certificate under the next following sub-paragraph, that question shall be determined in accordance with the certificate unless the landlord and the tenant otherwise agree in writing.

(2) On any such application the valuation officer shall certify—

(a) whether or not the improvement has affected the rateable value on the 1st April, 1973 (as ascertained for the purposes of subsection (1) of section 1 of this Act), of the hereditament of which the premises consist or, as the case may be, in which they are wholly or partly comprised, and

(b) if it has, the amount by which the rateable value would have been less if the improvement had not been made.

(3) An application for such a certificate shall be in the prescribed form and shall state the name and address of the landlord, and the Valuation Officer shall send a copy of the certificate to the landlord.

(4) Where the amount of the reduction under this Schedule falls to be determined in accordance with such a certificate, it shall be equal to the amount specified in pursuance of head (b) of sub-paragraph (2) of this paragraph, but proportionately reduced in any case where a proportion only of the cost was contributed by the tenant or a previous tenant under the tenancy.

(5) Where at the time of an application for a certificate under this paragraph a proposal for an alteration in the valuation list relating to the hereditament is pending and the alteration would have effect from a date earlier than the 2nd April, 1973, the Valuation Officer shall not issue the certificate until the proposal is settled.

FORM . . . Leasehold Reform Act 1967Notice by Tenant to Landlord of Tenant's Improvements affecting Rateable Value

FORM . . . Leasehold Reform Act 1967Application by Tenant to Valuation Officer for Certificate as to Reduction for the purposes of the Leasehold Reform Act 1967, in the Rateable Value of premises on account of Tenant's Improvements