The Non-Domestic Rating (Designated Areas) Regulations 2018

PART 3 Calculation of the baseline amount

For a specified year that is not a revaluation year

3.—(1) If a specified year is not a revaluation year, a billing authority’s baseline amount in respect of a designated area for the specified year is the amount calculated under sub-paragraph (2) or (3).

(2) For the specified year beginning with 1st April 2018, a billing authority’s baseline amount is calculated in accordance with the formula—

where—

• J is the amount provided in column 4 of the table in Schedule 1 in relation to the designated area;

• K₁ is the small business non-domestic rating multiplier for the preceding year; and

• K₂ is the small business non-domestic rating multiplier for the specified year.

(3) For a subsequent specified year which is not a revaluation year, the baseline amount is calculated in accordance with the formula—

where—

• L is the amount calculated under sub-paragraph (2), this sub-paragraph or paragraph 4(1) for the preceding year;

• M₁ is the small business non-domestic rating multiplier for the preceding year; and

• M₂ is the small business non-domestic rating multiplier for the specified year.

For a specified year that is a revaluation year

4.—(1) If a specified year is a revaluation year, a billing authority’s baseline amount in respect of a designated area for the specified year is the amount calculated in accordance with the formula—

where—

• N is the amount calculated in accordance with paragraph 3(2) or (3) for the preceding year;

• P is the aggregate rateable values shown in the billing authority’s local list for 1st April in the specified year for the hereditaments, other than those hereditaments to which paragraph 2(2) applies, falling within the designated area;

• Q is the aggregate rateable values shown in the billing authority’s local list for 31st March in the preceding year for the hereditaments, other than those hereditaments to which paragraph 2(2) applies, falling within the designated area;

• R₁ is the small business non-domestic rating multiplier for the preceding year;

• R₂ is the small business non-domestic rating multiplier for the specified year.

(2) For the purposes of this paragraph, the rateable value of a hereditament shown in the billing authority’s local list for 31st March in the preceding year is taken to be the rateable value that would have been shown in that list for that day had the circumstances relating to that hereditament been as they were on 1st April in the specified year.