Non-domestic rating: challenges and changes Statistical Commentary
Published 2 February 2023
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About this release.
This release includes statistics on Challenges made by taxpayers (or their representatives) against the England and Wales 2017 non-domestic rating (NDR) list up to 31 December 2022. It also includes statistics on reviews of rating assessments (known as “reports”) that have either been initiated by the Valuation Office Agency (VOA) or a Billing Authority, when new information becomes available.
These statistics do not include the number of appeals registered under the Check, Challenge, Appeal (CCA) system in England because these are the responsibility of the independent Valuation Tribunal Service (VTS), however, the VTS publish their latest statistics on their website.
Responsible Statistician
Anna McReady
Statistical enquiries
Date of next publication
May 2023
1. Headline figures
1.1 Checks and Challenges against the 2017 non-domestic rating list for England from 1 April 2017 to 31 December 2022:
The total number of Checks registered in England under the Check, Challenge, Appeal (CCA) system was
712,980
The total number of Challenges registered in England under the Check, Challenge, Appeal (CCA) system was
136,480
It is estimated that 55,570 of these challenges were made as a result of Covid-19 restrictions being imposed
In addition:
-
702,370 checks have been resolved
-
106,040 challenges have been resolved; of these, an estimated 51,560 were related to Covid-19 restrictions being imposed
-
17,270 challenges have been marked as incomplete; of these, an estimated 4,010 were related to Covid-19 restrictions being imposed
-
247,450 Interested Persons (IPs) and 17,770 agents had registered to use the check and challenge service
-
the VOA have approved 681,640 property claims by businesses
1.2 Checks and Challenges against the 2017 non-domestic rating list for England from 1 October to 31 December 2022:
The number of Checks registered in England from 1 October to 31 December 2022 was
19,670
Down from 24,110 in the previous quarter (1 July to 30 September 2022)
The number of Challenges registered in England from 1 October to 31 December 2022 was
4,460
Down from 6,070 in the previous quarter
In addition:
-
20,610 checks were resolved, down from 21,850 in the previous quarter
-
3,750 challenges were resolved, up from 2,960 in the previous quarter
-
10,610 checks were outstanding on 31 December 2022, down from 11,550 at the end of the previous quarter
-
13,170 challenges were outstanding on 31 December 2022, down from 13,950 at the end of the previous quarter
1.3 Challenges against the 2017 non-domestic rating list for Wales from 1 October to 31 December 2022:
The number of challenges registered in Wales from 1 October to 31 December 2022 was
780
Up from 710 in the previous quarter
The number of challenges resolved in Wales from 1 October to 31 December 2022 was
6,380
Up from 1,420 in the previous quarter
The number of challenges outstanding in Wales at 31 December 2022 was
6,530
Down from 12,130 in the previous quarter
1.4 Appeals outstanding from the 2010 non-domestic rating list for England and Wales at 31 December 2022:
The number of appeals outstanding for the 2010 list at 31 December 2022 was
4,840
Down from 5,980 at 30 September 2022
These include those awaiting listing, relisting, or decisions from the Valuation Tribunal, which the VOA do not control, and also some highly complex cases relating to specialist properties where a longer time frame is necessary to settle the appeals.
2. Checks, Challenges and Changes against the England 2017 rating list
There was a spike in the use of VOA services during the Covid-19 pandemic, which is reflected in the statistics shown in this release.
Before anyone can access more detailed valuation data about a property, they must prove that they have a legal interest in the property under the non-domestic rating legislation, for example, as an owner or occupier or both. To do this, they are required to register to use the CCA system and then can ‘claim their property’ through the VOA’s online service by providing proof of their relationship to the property, such as a copy of a business rates or utility bill. Once the VOA confirm the interested person’s relationship to the property, the claim is approved, and the interested person is able to view or request the detailed valuation for that property. The interested party can then start the CCA process. More information is available on GOV.UK.
Figure 1: Customer registrations by customer type and month, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 1.2)
The number of interested persons (IPs) and agents registering for CCA each month is shown in Figure 1. More than 90% of registrations are from interested persons rather than agents.
A seasonal pattern is visible in the graph; registrations are generally higher at the start of the year and gradually decrease as the year goes on. In March and April 2020 there were 14,140 registrations, which is a spike attributable to the Covid-19 pandemic. Following this spike, the number of registrations steadily decreased.
In November 2022 there was an increase in the number of registrations following the publication of the 2023 draft rating lists on 17 November 2022 ahead of Business rates revaluation 2023.
From 1 April 2023 Wales will also use the Check, Challenge, Appeal (CCA) process. Customers in Wales are already able to register for CCA. Therefore, the data shown in the graph for recent months may now include registration relating to properties in Wales as well as England.
Figure 2: Approved property claims by month, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 1.3)
The number of approved property claims by month is shown in Figure 2. In the period May to June 2020 there were 59,590 approved property claims. This spike in approved property claims was due to the Covid-19 pandemic. The difference from the March to April 2020 spike shown in Figure 1 reflects the time it takes for a customer registering for CCA to claim a property and then have their claim approved by a Valuation Officer.
Figure 3: Checks against the England 2017 NDR list by case status and month, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Tables 2.1 and 2.2)
Figure notes: Between late March 2020, when the first national lockdown was announced, and 8 March 2021, when a phased exit from lockdown began, a range of national and local Covid-19 restrictions were in place in England at various times. This period is indicated by the vertical dashed lines. More information about the history of Covid-19 restrictions in England is available on the House of Commons Library website.
Figure 3 shows the number of checks received by month and case status. Each of the spikes seen in mid-2020 and November 2020 to February 2021 are a result of the Covid-19 pandemic and the Government-imposed restrictions on business; see figure notes.
Figure 4: Challenges against the England 2017 NDR list by case status and month, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Tables 2.1 and 2.2)
Figure 4 shows the number of CCA Challenges received by month and case status. The month with the highest number of Challenges received was August 2020, when the VOA received 22,330 Challenges; this was a consequence of the prior rise seen in Checks (figure 3) and is attributable to the Covid-19 pandemic. The VOA resolved 52,490 Challenges in December 2021, a figure which is around 30 times the average number of Challenges resolved in all previous months, as a result of the enactment of the Rating (Coronavirus) and Directors Disqualification (Dissolved Companies) Act 2021. For further details please refer to Non-domestic Rating: Challenges and Changes, 2017 Rating List, March 2022.
Figure 5: Resolved CCA cases by case type and outcome against the England 2017 NDR list, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 3.1)
Table 1: Resolved CCA cases by case type and outcome against the England 2017 NDR list, 1 April 2017 to 31 December 2022
| Case type | Increase | Decrease | No Change |
|---|---|---|---|
| Checks | 15,920 | 135,660 | 550,790 |
| Challenges | 480 | 32,490 | 73,060 |
| Appeals | – | 820 | 570 |
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 3.1)
Table notes: Counts are rounded to the nearest 10 with counts fewer than 5 reported as negligible and denoted by ‘–’
Figure 5 and table 1 show breakdowns for the outcome (change to rateable value (RV)) of resolved CCA cases by case type. The highest percentage of cases resulting in no change to the RV was in Checks, with 78% (550,790 cases), followed by Challenges (69%, 73,060 cases) and then Appeals (41%, 570 cases). For cases resulting in an RV decrease, the highest percentage was in Appeals, with 59% (820 cases), followed by Challenges (31%, 32,490 cases) and then Checks (19%, 135,660 cases). Cases resulting in an RV increase made up 2% of Checks, less than 1% of Challenges and less than 0.1% of Appeals.
Figure 6: Resolved CCA Checks by region and outcome against the England 2017 NDR list, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 3.1)
Figure notes: Please note that the percentage labels in most of the bars are only displayed for the outcomes of ‘No change’ and ‘Decrease’. Therefore, the percentages will not sum to 100% for each region.
Table 2: Resolved CCA Checks by region and outcome against the England 2017 NDR list, 1 April 2017 to 31 December 2022
| Region | Increase | Decrease | No Change |
|---|---|---|---|
| North East | 600 | 4,080 | 19,970 |
| North West | 2,550 | 16,920 | 66,680 |
| Yorkshire and the Humber | 1,580 | 10,910 | 43,920 |
| East Midlands | 980 | 7,870 | 29,850 |
| West Midlands | 1,670 | 11,580 | 49,780 |
| East | 1,270 | 11,810 | 44,740 |
| London | 3,380 | 42,340 | 172,020 |
| South East | 2,530 | 19,850 | 82,410 |
| South West | 1,350 | 10,310 | 41,430 |
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 3.1)
Table notes: Counts are rounded to the nearest 10
Figure 6 and table 2 show the number of resolved CCA Check cases by geographical region and their outcome. The distribution of Check cases resulting in no change to RV, RV decreases and RV increases was fairly uniform across all of the regions; the outcome of no change to RV ranged between 77% in the East Midlands to 81% in the North East.
Figure 7: Resolved CCA Challenges by region and outcome against the England 2017 NDR list, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 3.1)
Figure notes: Please note that the percentage labels are only displayed for the outcomes of ‘No change’ and ‘Decrease’. Therefore, the percentages will not sum to 100% for each region.
Table 3: Resolved CCA Challenges by region and outcome against the England 2017 NDR list, 1 April 2017 to 31 December 2022
| Region | Increase | Decrease | No Change |
|---|---|---|---|
| North East | 20 | 1,520 | 1,920 |
| North West | 60 | 4,350 | 7,670 |
| Yorkshire and the Humber | 50 | 3,040 | 5,540 |
| East Midlands | 30 | 2,150 | 4,120 |
| West Midlands | 50 | 3,210 | 7,080 |
| East | 30 | 2,980 | 7,280 |
| London | 90 | 7,540 | 21,540 |
| South East | 100 | 4,930 | 11,870 |
| South West | 60 | 2,770 | 6,050 |
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 3.1)
Table notes: Counts are rounded to the nearest 10
Figure 7 and table 3 show the number of resolved CCA Challenge cases by geographical region and their outcome. For Challenges, the outcome of no change to RV ranged from 55% in the North East to 74% in London.
Figure 8: Resolved CCA Appeals by region and outcome against the England 2017 NDR list, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 3.1)
Figure notes: Please note that the percentage labels in most of the bars are only displayed for the outcomes of ‘No change’ and ‘Decrease’. Therefore, the percentages will not sum to 100% for each region.
Table 4: Resolved CCA Appeals by region and outcome against the England 2017 NDR list, 1 April 2017 to 31 December 2022
| Region | Increase | Decrease | No Change |
|---|---|---|---|
| North East | 0 | 30 | 10 |
| North West | – | 90 | 70 |
| Yorkshire and the Humber | 0 | 70 | 50 |
| East Midlands | 0 | 40 | 30 |
| West Midlands | 0 | 90 | 40 |
| East | 0 | 60 | 40 |
| London | 0 | 230 | 150 |
| South East | 0 | 150 | 90 |
| South West | 0 | 70 | 90 |
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Table 3.1)
Table notes: Counts are rounded to the nearest 10 with counts of 0 being reported as 0 and counts fewer than 5 reported as negligible and denoted by ‘–’
Figure 8 and table 4 show the number of resolved CCA Appeal cases by geographical region and their outcome. For Appeals, the outcome of no change to RV ranged between 31% in the West Midlands to 55% in the South West.
Figure 9: Assessment Reviews against the England 2017 NDR list by case status and quarter, 1 April 2017 to 31 December 2022
Source: Checks, Challenges and Changes against the 2017 local rating list, England (Tables 4.1 and 4.2)
Figure 9 shows that the number of assessment reviews received and resolved against the England 2017 list. In general, the trend shows that the number of assessment reviews has been decreasing since the start of the list; however, there was a brief spike in 2020, likely due to the Covid-19 pandemic.
3. Challenges and Changes against the Wales 2017 rating list
For Wales, a challenge is defined as a proposal by the ratepayer to alter the rating list, typically attributable to a challenge to the assessed rateable value or a change of circumstance of the property as well as physical changes in the locality.
Figure 10: Challenges against the Wales 2017 NDR list by case status and quarter, 1 April 2017 to 31 December 2022
Source: Challenges and Changes against the 2017 local rating list, Wales (Tables 1.1 and 1.2)
Figure 10 shows the number of challenges received against the Wales 2017 list. The number of challenges received remains low following the rise in challenges received due to the Covid-19 pandemic. The number of challenges resolved was at its highest in the quarter to June 2022, with a second spike in challenges resolved seen in the quarter to December 2022. These increases are the result of Covid-19 related cases being withdrawn.
In Wales, 25,380 challenges were received between 1 March 2020 and 31 December 2022, approximately 16,560 of which were related to Covid-19 restrictions. The Rating (Coronavirus) and Directors Disqualification (Dissolved Companies) Act 2021 states that measures brought in as a result of coronavirus will not be considered a Material Change of Circumstances (MCC). This means that Challenges in England and Wales based on the effect of these measures will not see a change in rateable value. The VOA are contacting ratepayers in Wales and asking them to withdraw their cases, which results in no change to rateable value. At 31 December 2022, 16,300 of these challenges had been withdrawn.
Figure 11: Assessment Reviews against the Wales 2017 NDR list by case status and quarter, 1 April 2017 to 31 December 2022
Source: Challenges and Changes against the 2017 local rating list, Wales (Tables 3.1 and 3.2)
Figure 11 shows the number of assessment reviews received and resolved against the Wales 2017 list. Assessment reviews received and resolved were at their highest in the quarter to June 2022. This increase is the result of a review of self-catering properties in Wales for the purpose of Revaluation 2023. The issuing of the forms of return commenced in April 2021 with the review undertaken between January and April 2022. A report is raised for each property to be reviewed; if it is found that the property does not meet the criteria to be classed as self-catering a further report is raised to move it out of Rating and into the Council Tax list.
Further to the to the aforementioned review for the purpose of supporting Revaluation 2023, the VOA has from April 2022 commenced a two-yearly rolling review of self-catering properties in Wales.
4. Further Information
More information about this release can be found in the Background Information document.
More detailed information on the 2017 local rating list is available at gov.uk/correct-your-business-rates
Further information on the area codes used in this can be found on the ONS website
More information on statistics at the VOA can be found on the Agency’s website: About VOA statistics
Timings of future releases are regularly placed on the VOA research and statistics calendar
We will keep the format of this document under review to continue improving the presentation of our statistics, and welcome feedback from users on the value of the information provided in this commentary – please forward any comments to the Statistics Inbox