Form

NNDR3: national non-domestic rates - guidance notes

Updated 2 April 2024

Applies to England

Please read these notes before completing and submitting your NNDR3.

Introduction

1. The 2023-24 NNDR3 provides authorities with a tool by which they can calculate their certified non-domestic rating income as required by Regulation 9 of the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended); and calculate the final sums due by way of section 31 grant in compensation for certain Government funded rates relief measures.

2. These guidance notes are intended to help billing authorities to complete the 2023-24 NNDR3. The guidance notes do not replace, or override, the legal provisions made in the Local Government Finance Act 1988, or any secondary legislation made under it. Authorities should take their own legal advice if they have doubts about what the legislation requires.

3. If authorities have any issues with the form, believe that there is something missing from it, or that something is included in it that should not apply to them, they should contact the department as soon as possible at NNDR.statistics@levellingup.gov.uk.

Updates to the 2023-24 NNDR3 form in comparison to the 2022-23 NNDR3 form

4. The 2023-24 NNDR3 is produced on the same basis as the 2023-24 NNDR1. Local authorities are not required to provide disaggregated data in respect of the small and standard business rates multipliers in this form but to fill it in on the same basis as they have filled in previous NNDR3 forms. This is because the de-linking of the multipliers following Royal Assent of the Non-Domestic Rating Act 2023 only means significant changes need to be made to NNDR3 forms from 2024-25 onwards.

5. There have been several updates to the 2023-24 NNDR3 form in comparison to the 2022-23 NNDR3 form, related to the 2023 Revaluation, new or changed tax measures, and newly designated Freeports (East Midlands Freeport, Freeport East, Liverpool Freeport, Plymouth and South Devon Freeport, Solent Freeport and Teesside Freeport).

6. Following the 2023 Revaluation, the cost of collection formula has been updated, and, due to the new transitional arrangements for the 2023 revaluation, a line has been adjusted to collect the revenue forgone in respect of 2023-24 liabilities.

7. The previously announced adjustment to the 2023-24 top ups and tariffs was made as part of the 2024-25 Local Government Finance Settlement. The adjustment to the 2023-24 top ups and tariffs will be made alongside the 2024-25 top up and tariff transactions in 2024-25. The multiplier cap compensation in respect of this adjustment to top up and tariffs will be made alongside the reconciliations for section 31 grants from the 2023-24 NNDR3

8. At Autumn Budget 2022 the Chancellor announced that the retail, hospitality, and leisure relief would be increased and expanded in to 2023-24. This change has been incorporated into the form Part 3 Line 59 and is relevant for all authorities.

9. In 2023-24, the Flood Recovery Framework was activated in response to storms Henk and Babet. The form has been updated accordingly. Additionally, a line in the form related to a 2015-16 flooding relief scheme has been removed. This is because that scheme is now completely closed. These changes are only relevant for affected authorities.

10. At Budget 2021 the Chancellor announced that 8 new Freeports would be created. The majority of the Freeports designations came into force on 1 April 2023. The form treats designated Freeports in the same way as any other type of designated area (e.g., Enterprise Zones). This means designated Freeports are incorporated into the amounts subtracted from collectable rates.

11. In 2023-24, Thames and Humber Freeports were not yet designated. Relevant authorities will be compensated for the award of relief and/or will retain 100% of any growth in business rates on the site from the date on which the Freeport came on-stream. This will be by a Section 31 grant. The form treats non-designated Freeports differently to designated areas and relevant authorities should fill specific lines that have been adjusted for this purpose.

12. The 2023-24 NNDR3 form draws on data from authorities’ 2022-23 NNDR3 form. The data used is taken from the version of 2022-23 NNDR3 forms published by the department on 24 January 2024, only forms received before 10 January 2024 were included in the update publication. If you believe your brought forward data in the 2023-24 NNDR3 form is incorrect as a result of prior year adjustments, please contact NNDR.statistics@levellingup.gov.uk.

NNDR background

13. The rates retention scheme provides for non-domestic rates collected by a billing authority to be shared between it, its major precepting authorities^{[footnote 1]} and central government. It also provides that certain sums are to be treated as being outside the scheme. These sums are retained in their entirety by the billing authority (or by the billing authority and some, or all, of its major preceptors).

14. The statutory framework effectively requires a billing authority, before the beginning of a financial year, to forecast the amount of business rates that it will collect during the course of the year and, from this, to disregard certain amounts and make a number of allowable deductions in order to arrive at a figure for its non-domestic rating income. It is the non-domestic rating income that is shared between the parties to the scheme. The framework also sets out how the billing authority is to treat allowable deductions and disregarded amounts – requiring that either they are paid to major precepting authorities or transferred to the authority’s General Fund.

15. At the end of the financial year, authorities are required to recalculate their non-domestic rating income, allowable deductions, and disregarded amounts based on outturn figures for the amount of business rates collectable during the year. In accordance with regulations 10 and 11 of the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended), any difference between the forecast and outturn figures for allowable deductions and disregarded amounts will result in the authority receiving, or having to make, a reconciliation payment. No reconciliation is made in respect of non-domestic rating income. Differences in non-domestic rating income between NNDR1 and NNDR3s are reflected in authorities’ calculations of the estimated collection fund balance made as part of a future year’s NNDR1.

16. In respect of 2023-24, the government has also undertaken to compensate authorities for the cost of relevant measures announced at each fiscal event from 2012 to 2022. Compensation is provided by means of a grant paid under section 31 of the Local Government Act 2003. Section 31 (s.31) grant payments were made to all authorities during the course of 2023-24, based on NNDR1 estimates of the amount of relief that authorities anticipated giving. Accordingly, on the basis of the figures provided in the NNDR3, the government will reconcile the s.31 grants already paid to authorities with the actual sums that are due in respect of 2023-24; and will pay, or recover, any difference following receipt of certified.

17. The 2023-24 NNDR3 should reconcile to the figures produced under the Accounting Code of Practice and will drive the accounting entries in local authorities’ financial statements. For convenience, and based on entries elsewhere in the form, Part 5 summarises the figures that authorities will need for their financial statements.

18. Find further information about the rates retention scheme.

Completion, certification and submission of NNDR3

19. Authorities are hereby directed to complete the 2023-24 NNDR3. The completed form should be sent to the Secretary of State and your major precepting authorities as well as (if applicable) your pool lead authority as provisional by Tuesday 30 April 2024. Authorities should submit an electronic version of the form, confirmatory statement and the Section 151 Officer’s electronic signature (including their name and position) to: NNDR.statistics@levellingup.gov.uk. Authorities should not submit a scanned copy of the form that has been signed by the authority’s Section 151 Officer.

20. If authorities cannot submit their provisional figures by this deadline, we ask that they let us know as soon as possible at NNDR.statistics@levellingup.gov.uk in order to agree when the form will be returned. Authorities in this position should also contact their Major Precepting Authorities and (if applicable) pool leads.

21. As in previous years, the deadline for the submission of the (post-audit) certified NNDR3 aligns with the deadline for publishing audited local authority accounts. The government laid regulations in July 2022 which set the deadline for submission of end-year business rates figures to 30 September for the 2021-22 financial year onwards.

22. As in previous years, the deadline for the submission of the (post-audit) certified NNDR3 aligns with the deadline for publishing audited local authority accounts. The government laid regulations in July 2022 which set the deadline for submission of end-year business rates figures to 30 September for the 2021-22 financial year onwards.

23. The figures in this form will form the basis of the authority’s (and major precepting authorities’) draft accounts. By 30 September 2024, following an audit of the authority’s financial statements, a final, “certified” NNDR3 must be submitted, making such changes to the NNDR3 as are necessary for consistency with the audited accounts. This must be certified by the authority’s s.151 officer and again this should be sent to both the Secretary of State and your major precepting authorities, as described above.

24. If authorities cannot submit their certified figures by this deadline, we ask that they let us know as soon as possible at NNDR.statistics@levellingup.gov.uk, with an estimate of when the audit will be complete.

Detailed notes on completing the NNDR3

25. The 2023-24 NNDR3 comprises 5 parts. There are a number of data cells which authorities are required to populate (these have black borders). A number of information cells (these have green borders) are automatically derived, or calculated, using the inputs in other cells. There are also a small number of pre-filled cells (these have blue borders) where data has automatically been entered by DLUHC.

26. The form is designed to provide authorities with the numbers they (and their major precepting authorities) need in order to complete their draft accounts; and preliminarily determine the amounts that are due as a result of the reconciliation of forecast and actual figures for allowable deductions and s.31 payments.

a. Part 1 – provides the headline outturn numbers for non-domestic rating income, allowable deductions and disregarded amounts. In all but a small number of cases, it comprises information cells which are derived from data entries in Parts 2 to 4 of the form.

b. Parts 2 and 2A – require authorities to complete data cells for accounting adjustments for bad debts and alteration of list and appeals provisions. It leads to figures for collectable rates and disregarded amounts for the year. Authorities with designated areas will need to complete “Part 2 DA Summary” which provides for the figures in Part 2A to be disaggregated to the level of individual designated areas.

c. Part 3 – requires authorities to provide a breakdown of their Gross Rates Payable for the year and prior year adjustments, and complete data cells for the amount of relief they have awarded, including those discretionary reliefs for which authorities will receive compensation. A reconciliation section at the foot of the page provides a breakdown of the relief awarded and calculates Net Rates Payable. As a result, Part 3 reflects the total amount of business rates charged to ratepayers. The data entries made by authorities will be used to calculate the s.31 payments due to/from the authority in Part 4.

d. Part 4 – from data largely derived from other parts of the form, Part 4 calculates the reconciliation payments that are due to/from the authority.

e. Part 5 – based on data provided in Parts 1 – 4, Part 5 provides a summary of the figures that each of the billing and major precepting authorities will need for their financial statements.

27. The form automatically “greys-out” cells which authorities do not need to complete, for example, because they do not have any designated areas. By selecting the authority’s name from the drop-down menu at the start of Part 1, an authority will be provided with only those data cells, information cells and pre-filled cells that are relevant to it.

28. In addition to the information cells (green border) mentioned above, there are a number of areas of the form that are “greened-out”. These areas do not require any input from the authority as they contain totals calculated from other cells.

29. The following notes explain, in detail, what authorities should enter into the data cells; how the figures in the information cells and pre-filled cells are derived; and their relevance to authorities’ accounts and the operation of the scheme.

30. Except for Part 1 of the form, (or where specifically indicated) receipts (e.g. sums due to the billing authority from ratepayers, or central government) should always be entered as positive numbers. Payments from the authority, or amounts foregone (e.g. reliefs given to ratepayers) should always be entered as negative numbers.

31. All values in the form should be entered in whole £. In Parts 4 and 5 of the form where calculations use the % split between the billing authority and its major precepting authorities, rounding takes place to eliminate any odd pence that may have been generated as a result of the calculations.

32. Please do not try to alter the form, as this may result in other errors in the form or issues once the form has been returned. If you believe there is an issue with the pre-filled cells or with any formula, please contact: NNDR.statistics@levellingup.gov.uk

Part 1: Non-Domestic Rating Income

Part 1 provides for the calculation of 2023-24 year-end amounts in accordance with regulation 9 and Schedule 1 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended).

Most of the cells in Part 1 of the form are automatically populated or calculated from data cells elsewhere in the form, apart from lines 5 and 9a which are data entry cells for authorities to complete.

Note A: Collectable Rates

A summary breakdown of the Collectable Rates value in Line 1 is provided in a box on the right-hand side of Part 1.

The breakdown pulls through sub totals from Column 3, Part 2 of the form. These sub totals then total to the value of Collectable Rates in Line 1.

Line 1: Collectable Rates
Information cell. Authorities are not required to enter data

This gives a figure for collectable rates – in other words, the amount of business rates that the authority calculates were collectable in 2023-24 from all ratepayers, taking account of transitional adjustments, any reliefs awarded, any interest paid to ratepayers and adjustments made by the authority for losses on collection and provisions for alteration of lists and appeals.

The figure will automatically be picked-up from Part 2 of the form, where authorities are required to fill data cells which produce the total collectable rates for the billing authority area (see Part 2, line 12, column 3 [Net Rates Payable less Interest and Accounting Adjustments]).

Lines 2 & 3: Transitional Protection Payments
Information Cells. Authorities are not required to enter data

These give information about the transitional protection payments that authorities must pay, or will receive, from central government in 2023-24 reflecting the expected end of year reconciliation in respect of prior year amounts.

The figures in lines 2 and 3 will be automatically picked-up from Part 4 of the form, (see Part 4, line 1, column 3 [Transitional Protection Sums due to or from authority]).

Note B: Cost of Collection

Lines 4-6 provide details of the allowance for the cost of collection. The allowance provides billing authorities with income to help meet the cost of billing and collection. The figure is deducted from the collectable rates figure, as part of the calculation of non-domestic rating income.

In their 2023-24 NNDR1, authorities will already have made a deduction for the cost of collection. This sum will have been retained in its entirety by the billing authority and, in accordance with schedule 3 of the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended), is transferred to the billing authority’s General Fund.

The cost of collection figure entered in the NNDR3 should not have changed, except insofar as authorities may have incurred eligible legal costs in respect of the previous year (see line 5 below) that were not anticipated in the NNDR1. Where this is the case, authorities will need to transfer the equivalent sum from their Collection Fund to their General Fund, or vice versa.

The 2023-24 NNDR3 continued to use the VOA rating list on 17 November 2022, to provide certainty for LAs that the values in the 2023-24 NNDR1 would remain unchanged.

Line 4: Cost of Collection Formula
Pre-filled cell. Authorities are not required to enter data

For information, the aggregate figures in the formula for 2023-24 are set out below:

Where:

hereds is the number of hereditaments entered in the VOA rating list on 17 November 2022.

ACF is the area cost factor for the authority.

£63,840,000 is 76% of the total allowance of £84,000,000

2,099,527 is the total number of hereditaments on the VOA rating lists at 17 November 2022, multiplied by the ACF for all authorities in England.

RV is the aggregate rateable value in the VOA rating list on 17 November 2022.

£20,160,000 is 24% of the total allowance of £84,000,000

73,146,521,186 is the sum of the rateable value of all hereditaments on the VOA rating list at 17 November  2022 multiplied by the ACF for all authorities in England.

**Line 5: Legal Costs
Data cell. Authorities need to enter data

Authorities need to enter the amount (if any) of any legal costs that satisfy the conditions set out in paragraph 2(5) of schedule 1 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended).

Line 6: Allowance for the cost of collection
Information cell. Authorities are not required to enter data

Line 6 provides details of the total allowance for the cost of collection. It is automatically calculated as the sum of lines 4 and 5.

As explained above, this sum is the total amount to be transferred to the billing authority’s General Fund in respect of 2023-24. (See Note B Cost of Collection)

Where this figure is different from the equivalent figure calculated as part of the 2023-24 NNDR1, a “reconciliation payment” will need to be made (see Part 4, lines 4-6 [Cost of Collection]).

Line 7: City of London Offset
Pre-filled cell. Authorities are not required to enter data

This line is pre-filled by DLUHC. The figure for all authorities, except the City of London is £0. The City of London offset for 2023-24 is £12,515,000.

Disregarded Amounts

Line 8: Amounts retained in respect of Designated Areas
Information cell. Authorities are not required to enter data

This cell provides the amount of non-domestic rates to be retained by the billing authority in respect of its designated areas in accordance with the Non-Domestic Rating (Designated Areas) Regulations which are in force for this financial year.

The figure will automatically be picked-up from Part 2 of the form, which picks up values entered in respect of designated areas from Part 2DA Summary in which authorities are required to complete data cells which produce the total amount to be retained by the billing authority in respect of its designated areas (see Part 2 DA, column 6 [Total Disregarded Amounts]).

The figure is deducted from the collectable rates figure, as part of the calculation of non-domestic rating income and is the sum to be transferred to the billing authority’s General Fund.

Where this figure is different from the equivalent figure calculated as part of the 2023-24 NNDR1, a “reconciliation payment” will need to be made (see Part 4, lines 7-9 [Designated Areas]).

Note C: Renewable Energy Schemes

Lines 9 – 9b detail the amount of non-domestic rates to be retained by authorities in respect of designated renewable energy projects, in accordance with the Non-Domestic Rating (Renewable Energy Projects) Regulations 2013 (SI 2013/108)(as amended).

In accordance with regulation 7(2) and Schedule 3 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended), the amount is retained by the billing authority unless the County Council was the responsible authority for determining the planning application which led to the hereditament becoming a designated renewable energy project, in which case the amount in respect of that hereditament is retained by the County Council.

Line 9: Amounts retained in respect of Renewable Energy Schemes
Information cell. Authorities are not required to enter data

The figure will automatically be picked-up from Part 2A, line 12, column 3 of the form, where authorities are required to complete data cells which produce the total amount to be retained in respect of designated renewable energy projects.

This figure is deducted from the collectible rates figure, as part of the calculation of non-domestic rating income.

Line 9a: Of which: sums retained by billing authority
Data cell. Authorities need to enter data

In line 9a, billing authorities are required to enter the part of the amount in line 9 that they will retain, as the planning applications were not determined by the County Council. 

London Boroughs, Metropolitan Districts and other Unitary Authorities need to ensure that they enter the same figures in line 9a as in line 9. This is due to neither the GLA, Combined Authorities nor Fire and Rescue Authorities being eligible to receive a share of the growth arising from renewable energy schemes.

This figure is the sum due to the billing authority’s General Fund.

Where the figure in line 9a is different from the equivalent figure calculated at the time of the 2023-24 NNDR1, a “reconciliation payment” will need to be made (see Part 4, lines 10-12 column 2 [Renewable Energy Schemes]).

Line 9b: Of which: sums retained by major precepting authority
Information cell. Authorities are not required to enter data.

Line 9b automatically returns the amount due to a County Council because it was the relevant planning authority responsible for determining the application(s).  This is calculated as the difference between the values for line 9 and line 9a. 

This figure is the amount due to the County Council from the Collection Fund.

Where the figure in line 9b is different from the equivalent figure calculated at the time of the 2023-24 NNDR1, a “reconciliation payment” will need to be made (see Part 4, lines 10-12 column 3 [Renewable Energy Schemes]).

Note D: Shale Oil and Gas Schemes

Line 10 details the amount of non-domestic rates to be retained by authorities in respect of Shale Oil and Gas Sites, in accordance with the Non-Domestic Rating (Shale Oil and Gas and Miscellaneous Amendments) Regulations 2015 (SI 2015 No.628).

In accordance with regulation 7A (5), the amount is shared between the billing authorities and its major precepting authorities in line with the following percentages;

(a) 100% where the billing authority is:

(i) a County Council, or a District Council in an area for which there is no County Council, and the authority is a Fire and Rescue Authority; or

(ii) the Council of the Isles of Scilly;

(b) 99% where the billing authority is a County Council, or a District Council in an area for which there is no County Council, and the authority is not a Fire and Rescue Authority;

(c) 40% where the billing authority is a District Council in an area for which there is a County Council;

(d) 80% where the billing authority is a London Borough Council or the Common Council of the City of London;

(e) 60% where the relevant precepting authority is a County Council which is a Fire and Rescue Authority;

(f) 59% where the relevant precepting authority is a County Council which is not a Fire and Rescue Authority;

(g) 20% where the relevant precepting authority is the Greater London Authority; and

(h) 1% where the relevant precepting authority is a Fire and Rescue Authority not falling within sub-paragraphs (a) or (e).

Line 10: Amounts retained in respect of Shale Oil and Gas Schemes sites
Information cell. Authorities are not required to enter data.

This cell returns the collectable rates due in 2023-24 from Shale Oil and Gas Sites. The figure will automatically be picked-up from Part 2, line 15, column 3 [Shale Oil and Gas Sites].

Line 11: Non-domestic rating income
Information cell. Authorities are not required to enter data.

Line 11 gives the billing authority’s non-domestic rating income for the year, in line with the calculation set out in paragraph 1 of Schedule 1 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended). It is automatically calculated. The calculation is line 1 plus line 2, minus lines 3 and 6 to 10.

Part 2: Collectable Rates and Disregarded Amounts

Part 2 determines the billing authority’s collectable rates – i.e. the net amount receivable by the authority from ratepayers after taking account of transitional adjustments, empty property relief, mandatory and discretionary reliefs, interest due to ratepayers and adjustments for bad debts, alteration of lists and appeals etc. It also calculates the amounts that are to be subtracted from the collectable rates in respect of Designated Areas (Local Growth Zones, Enterprise Zones etc), Renewable Energy and Shale Oil and Gas Schemes, in accordance with Schedule 1 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended).

The majority of the Freeports designations came into force from the beginning of 2023-24, and are now thus treated in the same way as the designated areas mentioned in the previous paragraph. For Freeports not designated in 2023-24, however, the growth against their baselines will be calculated and if necessary a Section 31 grant will be paid to eligible Freeports.

This part of the form also calculates any deductions from the Central Share, including North Somerset in respect of the Port of Bristol. Finally, it captures the sums outstanding from and to ratepayers.

In this section, authorities without designated areas, only need to complete column 1. Do not enter any figures in the greyed-out area.

Authorities with designated areas, will also need to complete “Part 2DA Summary”, which aggregates figures to give total values in Part 2A.

Line 1: Net Rates Payable by Ratepayers
Information cell. Authorities are not required to enter data.

The figures in line 1 show the net rates payable by ratepayers in 2023-24, in accordance with proper accounting practice. The figure reflects all transitional, empty property, mandatory and discretionary relief given.

The figures are automatically picked-up from the “net rates payable by ratepayers” line in the “reconciliation” table at the bottom of Part 3.  They should include all amounts due from ratepayers, unless, in accordance with proper accounting practice, they were recognised in a previous financial year.

Line 2: Interest
Data cell. Authorities need to enter data.

Authorities should enter the gross amount of any interest on overpayments they have paid or credited to ratepayers following changes to rating lists in accordance with the Non-domestic Rating (Payment of Interest) Regulations 1990 (SI 1990/1904). The amount should be entered as a negative figure.

The rate of interest payable on refunds of overpaid rates, arising from alterations to the rating list, should be set for any year at one percentage point below the standard rate at 15 March (or the next business day) in the preceding year. On 15 March 2023, the standard rate was 4.0%; therefore, the rate of interest to be applied for the rating year 1 April 2023 to 31 March 2024 is 3.0%.

Authorities should include any interest they have provided for in respect of alterations to lists and appeals in lines 9-11.

Accounting Adjustments

Line 3: Write-offs charged to the allowance for non-collection
Data cell. Authorities need to enter data.

Authorities should enter any sum written-off as a bad debt during the course of 2023-24 and charged to the authority’s allowance for non-collection.

The figure is included to facilitate the entries in Part 5 of the form. It does not affect the calculation of collectable rates in line 12. The amount should be entered as a negative figure. Amounts cannot be written back to the provision, but should be recorded in line 4.

Line 4: Any sums written off during year in excess of the allowance for non-collection or written back
Data cell. Authorities need to enter data.

Authorities should enter the amount of any sum written off (or on) as bad debt during the course of 2023-24, which has not been charged to the allowance for non-collection or otherwise been reflected in a change to the authority’s allowance for non-collection (see line 5).

An authority should enter a negative figure in line 4 where write-offs not charged to the allowance for non-collection exceed write-ons and a positive figure where write-ons not charged to the allowance for non-collection exceed write offs.

Line 5: Change in allowance for non-collection
Data cell. Authorities need to enter data.

Authorities should enter the amount of any change they make to their allowance for non-collection of non-domestic rates. This should reflect the difference between the allowance at 31 March 2024, compared to that at 31 March 2023, after reflecting the amounts charged to the allowance in 2023-24 (see line 3 above) and the authority’s view of the future risk of bad debt.

An authority should enter a negative figure in line 5 where it increases its non-collection allowance and a positive figure where it reduces the non-collection allowance.

Line 6: RV list amendments charged against the 2010 List regarding the provision for alteration of lists and appeals
Data Cell. Authorities need to enter data.

Authorities should enter the amount charged to the provision for alteration of lists and appeals during the course of 2023-24, in respect of the 2010 rating list. The amount will reflect changes made to ratepayers’ liability following alterations to the rating list, which have previously been provided for.

The amount should be entered as a positive figure.

Line 7: RV list amendments charged against the 2017 List regarding the provision for alteration of lists and appeals
Data Cell. Authorities need to enter data.

Authorities should enter the amount charged to the provision for alteration of lists and appeals during the course of 2023-24, in respect of the 2017 rating list. The amount will reflect changes made to ratepayers’ liability following alterations to the rating list, which have previously been provided for.

The amount should be entered as a positive figure.

Line 8: RV list amendments charged against the 2023 List regarding the provision for alteration of lists and appeals
Information Cell. Authorities are not required to enter data.

2023-24 is the first year of the 2023 list, as a consequence it is not expected that authorities should have an existing provision for alteration of lists or appeals to be charged against. As a result the balance for this line should be zero in 2023-24 and the cells are locked for data entry.

Line 9: Changes in provision for alteration of lists and appeals: 2010 list
Data Cell. Authorities need to enter data.

Authorities should enter the amount of any change they make to their provision for alteration of lists and appeals in respect of the 2010 rating list. This should reflect the difference between the provision at 31 March 2024, compared to that at 31 March 2023, after reflecting the amounts charged to the provision in 2023-24 (see line 6 above) and the authority’s view of the future risk of losses as a result of changes to the 2010 rating list. Authorities should include any provision for interest in this line in respect of alterations and appeals to the 2010 list.

An authority should enter a negative figure in line 9 where it increases its provision for alteration of lists and appeals and a positive figure where it reduces its provision for appeals.

Line 10: Changes in provision for alteration of lists and appeals: 2017 list
Data Cell. Authorities need to enter data.

Authorities should enter the amount of any change they make to their provision for alteration of lists and appeals in respect of the 2017 rating list. This should reflect the difference between the provision at 31 March 2024, compared to that at 31 March 2023, after reflecting the amounts charged to the provision in 2023-24 (see line 7 above) and the authority’s view of the future risk of losses as a result of changes to the 2017 rating list. Authorities should include any provision for interest in this line in respect of alterations and appeals to the 2017 list.

An authority should enter a negative figure in line 10 where it increases its provision for alteration of lists and appeals and a positive figure where it reduces its provision for alteration of lists and appeals.

Line 11: Changes in provision for alteration of lists and appeals: 2023 list Data cell. Authorities need to enter data.

Authorities should enter the amount of any change they make to their provision for alteration of lists and appeals in respect of the 2023 rating list. Authorities should include any provision for interest in this line in respect of alterations and appeals to the 2023 list.

An authority should enter a negative figure in line 11 to make its provision for alteration of lists and appeals or zero if no provision is required.

Line 12: Collectable Rates
Information Cell. Authorities are not required to enter data.

Based on the entries in lines 1 – 11, line 12 automatically calculates the authority’s collectable rates – in other words, the net amount receivable from ratepayers in 2023-24, after taking account of transitional arrangements, empty property, mandatory and discretionary reliefs, interest and accounting adjustments, but not including values entered in line 3 (‘Write offs’), which is included only for the purposes of calculating the change in provisions in part 5, line 14.

The calculation, for each of the columns is line 1 plus line 2 and lines 4-11. The results are automatically summed at column 3.

The figure in column 3 is carried forward to Part 1 of the form (see Part 1, line 1) in order to determine the billing authority’s non-domestic rating income under the rates retention scheme.

Part 2A: Designated Areas

Line 13: Information Cell. Authorities are not required to enter data

Line 13 provides the collectable rates in Designated Areas. The figure at column 2 is automatically picked-up from line 12, column 2 [Collectable Rates].

Note E: Disregarded Amounts

Authorities can retain growth in rates in designated areas, qualifying renewable energy schemes and qualifying shale oil and gas schemes, outside the rates retention scheme. To calculate the non-domestic rating income under the scheme, deductions from the authority’s collectable rates need to be made for designated areas, qualifying renewable energy and qualifying shale oil and gas schemes.

All authorities who collect rates from qualifying renewable energy schemes or qualifying shale oil and gas sites in the billing authority area only, will need to complete Part 2A, lines 14 and 15, column 1. The figures in column 2 are automatically picked up from Part 2 DA Summary, columns 2 and 3.

All Freeports, except the Thames and Humber Freeports, were designated in 2023-24 and relevant billing authorities should complete Part 2DA Summary where Freeports have been designated. Thames and Humber Freeports were not designated in 2023-24 and the relevant billing authorities should complete Lines 23 to 26. The amount of any section 31 grant due to an authority in respect of the growth it is due to retain in respect of the non-Designated Freeport is calculated in Part 4, Line 65 [non- Designated Freeport Additional Growth] (see also Note F).

Growth is measured against baselines set out in the Non-Domestic Rating (Designated Areas) Regulations 2013 to 2018, 2021 and 2023.

Taken together, Parts 2A and 2DA Summary will provide for the deductions that need to be made in respect of designated areas, renewable energy schemes and shale oil and gas schemes.

Line 14: Renewable Energy
Data Cell.      Authorities need to enter data.

In line 14 authorities should enter the collectable rates due in 2023-24 from qualifying renewable energy schemes, as defined in the Non-Domestic Rating (Renewable Energy Projects) Regulations 2013 (SI 2013/108) (as amended),. This amount should be positive unless exceeded by prior year adjustments.

The amount should be net of all reliefs including transitional relief and should reflect any adjustments made in respect of previous years to collectable rates from qualifying renewable energy schemes.

For authorities without designated areas, only complete column 1.

For authorities with designated areas, separate figures are required for designated areas and the rest of the billing authority’s area. The figure for “the rest of the billing authority’s area” should be entered in column 1. The figure in column 2 will be automatically derived from the entries made in column 2 of Part 2DA Summary. Columns 1 and 2 will be automatically summed in column 3.

The column 3 figure is carried forward to Part 1, line 9 [Amounts retained in respect of Renewable Energy Schemes] in order to determine the billing authority’s non-domestic rating income.

Line 15: Shale Oil and Gas Scheme sites
Data Cell. Authorities need to enter data.

In line 15 authorities should enter the collectable rates due in 2023-24 from Shale Oil and Gas Sites, as defined in the Non-Domestic Rating (Shale Oil and Gas and Miscellaneous Amendments) Regulations 2015 (SI 2015 No. 628). This amount should be positive unless exceeded by prior year adjustments.

The amount should be net of all reliefs including transitional relief and should reflect any adjustments made in respect of previous years to collectable rates from qualifying Shale Oil and Gas Sites.

For authorities without designated areas, only complete column 1.

For authorities with designated areas, separate figures are required for designated areas and the rest of the billing authority’s area. The figure for “the rest of the billing authority’s area” should be entered in column 1.  The figure in column 2 will be automatically derived from the entries made in column 3 of Part 2DA Summary. Columns 1 and 2 will be automatically summed in column 3.

The column 3 figure is carried forward to Part 1, line 10 [Amounts retained in respect of Shale Oil and Gas Scheme sites] in order to determine the billing authority’s non-domestic rating income.

Line 16: Transitional Protection Payment
Information Cell. Authorities are not required to enter data.

Line 16 details adjustments to transitional protection payments that the authority will make/receive for 2023-24, in respect of previous years, in its Designated Areas.

The figure in column 2 is automatically picked-up as the aggregate of column 4, Part 2 DA Summary; it should equal Part 4, line 1, column 2.

Sums due to the authority in respect of its Designated Area(s) need to be added to the collectable rates in that area to arrive at the figure that needs to be deducted from the authority’s overall collectable rates.

Sums due from the authority in respect of its Designated Area(s) need to be deducted from the collectable rates in that area to arrive at the figure that needs to be deducted from the authority’s overall collectable rates.

Line 17: Baseline
Information Cell. Authorities are not required to enter data.

Billing authorities are allowed to keep any growth in business rates in Designated Areas, above the baseline initially set for that area.

Growth is measured against baselines set out in the Non-Domestic Rating (Designated Areas) Regulations which are in force for this financial year (see Note E).

The 2023-24 aggregate baseline for the authority’s Designated Areas is automatically picked up from Column 5, Part 2 DA Summary.

Line 18:          Total Disregarded Amounts
Information Cell. Authorities are not required to enter data.

Line 18 automatically shows the deductions that are to be made in respect of Designated Areas.

The amount is automatically picked-up from Part 2 DA Summary, column 6. The figure is then automatically taken forward to Part 1, line 8 [Amounts retained in respect of Designated Areas].

Line 19: Designated Area Qualifying Relief (S31 grants in 100% business rates retention areas)
Information Cell.  Authorities are not required to enter data.

Line 19 automatically calculates the amount of qualifying relief awarded in “Case A” and/or “Case B” hereditaments in Designated areas by Local Authorities in 100% business rates retention areas. It does not include relief in designated Freeports in 100% retention areas – the s.31 grant due in those areas is calculated in Part 4, line 64.  Authorities will receive compensation for qualifying relief through a s.31 payment, rather than via a deduction to the central share (as their central share is zero). The amount of any qualifying relief due to an authority is shown in Part 4, Lines 57 to 59 [Designated areas relief granted in 100% business rates retention areas].

The figure in column 1 is automatically picked up from line 42 of Part 3 [Relief given to Case B hereditaments], where authorities have entered the amount of relief they have given in respect of “Case B” properties. For 100% business rates retention authorities, the amount of qualifying relief in column 1 is 100% of the figure in line 42, in Part 3, multiplied by (1 + the adjustment factor (“adj_factor” = 85/499)) and subsequently multiplied by -1.

The figure in column 2 is automatically picked up from line 41 of Part 3 [Relief given to Case A hereditaments], where authorities have entered the amount of relief they expect to give in respect of “Case A” properties. For 100% business rates retention authorities, the amount of qualifying relief in column 1 is 100% of the figure in Part 3 line 41 multiplied by (1 + adj_factor), and subsequently multiplied by -1.

The amounts of qualifying relief are summed in column 3.

Line 20: Designated Area Qualifying Relief (Deduction from Central Share)
Information Cell.  Authorities are not required to enter data.

Line 20 automatically calculates the amount of qualifying relief awarded in Designated areas by non-100% business rates retention authorities. Authorities will receive compensation for qualifying relief via a deduction from their central share payment. It does not include relief in designated Freeports as this is compensated via s.31 grant, not via a deduction to the central share, as calculated in Part 4, line 64.

The figure in column 1 is automatically picked up from line 42 of Part 3 [Relief given to Case B hereditaments], where authorities have entered the amount of relief they have given in respect of “Case B” properties. For non-100% retention authorities, the amount of qualifying relief in column 1 is their total local share of the figure in Part 3 line 42, multiplied by -1.

The figure in column 2 is automatically picked up from line 41 of Part 3 [Relief given to Case A hereditaments], where authorities have entered the amount of relief they expect to give in respect of “Case A” properties.  For all authorities, the amount of qualifying relief in column 1 is 100% of the figure in Part 3 line 41, multiplied by -1.

The amounts of qualifying relief are summed in column 3.

The calculation of Case A and Case B figures are set out in the Non-Domestic Rating (Rates Retention) Regulations 2013 (as amended). The calculation of additional compensation for the underindexation of the multiplier for these figures is included within the calculation of the 2023-24 Multiplier Cap in Part 4 line 54 [2023-24 Multiplier Cap due to authority].

Line 21: Port of Bristol
Data Cell. Authorities need to enter data.

In line 21, column 1, North Somerset Council needs to enter the actual amount of business rates income in respect of the Port of Bristol hereditament, calculated in accordance with Schedule 2B to the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended).

Column 3 automatically calculates the amount to be deducted from the central share.  It is the column 1 number, multiplied by 0.51, in accordance with the above regulations. 

Line 22: Total Deductions from Central Share
Information Cell.  Authorities are not required to enter data.

Line 22 column 1 calculates the deductions from the central share calculated for the billing authority area excluding designated areas in 2023-24. This is the sum of lines 20 and 21. Column 2 gives the deductions from central share in designated areas only.

Line 22 column 3 shows the total amount of the Deductions from the Central Share applicable to the authority in 2023-24. It is automatically calculated as the sum of line 22 columns 1 and 2.

Note F: Freeports not designated in 2023-24

Context on Freeports

At Budget 2021 the Chancellor announced that 8 new Freeports would be created. The form will be greyed-out for authorities that do not have Freeport tax sites. If you believe this is incorrect for your authority, please contact NNDR.Statistics@levellingup.gov.uk as soon as possible.

Local authorities with Freeports will be able to retain the growth in non-domestic rating income in their Freeport Tax sites for the period specified by the relevant regulations at designation, once designated under paragraph 39 of Schedule 7B to the Local Government Finance Act 1988. In designating the Freeport Tax sites, which came into force from 1 April 2023^{[footnote 2]}, a business rates baseline was agreed for each site and set into the regulations, above which any growth may be kept, and below which, the authority retains its business rates in the area under the 50% scheme.

Full business rates relief will also be available to eligible business for Freeport tax sites in England, once designated. Relief will be available to all new businesses, and certain existing businesses where they expand, until 30 September 2031. Relief will apply for five years from the point at which each beneficiary first receives relief.

Growth in the Freeport Tax site

Lines 23 to 26 are only to be completed by authorities with Freeports not designated for business rates retention in 2023-24. These are the Thames and Humber Freeports. All other Freeports were designated for business rates retention in 2023-24 and relevant billing authorities should complete Part 2DA Summary.

Thames and Humber Freeports will be compensated for the award of relief and/or will retain 100% of any “growth” in business rates on the site from the date on which the Freeport came on-stream.  Where sums are due to authorities in respect of 2023-24, this will be paid in the form of s.31 grant, following the submission of this form.

For 2023-24, we require those authorities who are part of the Thames or Humber Freeports to provide figures for the Freeport Tax site in order to enable us to calculate the amount of growth due to the authority for the year.  The figures to be entered by authorities mirror those required in designated areas and should be entered in lines 23 to 26. Freeport growth baselines have been included in the form at line 27 and growth to be paid to the local authority via s.31 grant will be calculated in Part 4, Line 65 [non-Designated Freeports additional growth].

Freeports business rates relief

Where billing authorities award qualifying 100% business rates relief to eligible hereditaments in the Freeport Tax site, central Government will reimburse them for the actual cost to them under the rates retention scheme. These figures should be entered in Part 3, line 43, Column 1 for not yet designated and column 2 for designated [Relief given to Freeports], and the compensation due will be automatically calculated in Part 4, line 64 [Freeports Relief].

Line 23: Collectable Rates: net rates payable less accounting adjustments
Data Cell.      Authorities need to enter data.

In line 23, authorities who are part of the Thames or Humber Freeports need to enter the collectable rates payable in the Freeport Tax site – in other words, the net amount receivable from ratepayers in the designated area, after taking account of transitional and empty property relief, mandatory and discretionary reliefs, and after having made the necessary accounting adjustments.

Line 24:          Renewable Energy
Data Cell.      Authorities need to enter data.

In line 24, authorities who are part of the Thames or Humber Freeports need to enter the value of any rates collectable from qualifying renewable energy schemes in the authority’s Freeport area for 2023-24.

Amount entered should be a positive number.

Line 25: Shale Oil and Gas Scheme sites
Data Cell.      Authorities need to enter data.

In line 25, authorities who are part of the Thames or Humber Freeports need to enter the value of any rates collectable from qualifying Shale Oil and Gas sites in the authority’s Freeport area for 2023-24.

Amount entered should be a positive number.

Line 26: Transitional Protection Payment
Data Cell.      Authorities need to enter data.

In line 26, authorities who are part of the Thames or Humber Freeports need to enter the value of any transitional protection payments due to, or from the authority in respect of the authority’s Freeport area for 2023-24 (see Note I).

Authorities should enter a:

• Positive figure where the transitional arrangements result in a net loss of income and a transitional protection payment is due from government
• Negative figure where the transitional arrangements result in a net gain of income and a transitional protection payment is due to government.

Line 27:          Baseline
Pre-filled Cell. Authorities are not required to enter data.

In line 27, the baseline for authorities is pre-filled based on the baseline data submitted to the department by authorities in 2023-24.

Note G: Debtors and Over/Pre-Payments

Although not part of the rates retention scheme, authorities will need to include amounts for debtors and over/pre-payments in their financial statements. For convenience therefore, lines 28 and 29 allow the billing authority to set out the total amounts owed by, and to, ratepayers, in accordance with proper accounting practice, in respect of business rates. Authorities will need to recognise their share of these assets and liabilities in their financial statements (as set out in Part 5, lines 11 and 12 [Sums receivable / payable (ratepayers)]).

Line 28:          Sums outstanding from ratepayers (debtors)
Data Cell.      Authorities need to enter data.

Authorities need to enter the sums owed by ratepayers - they should enter the figure owed by ratepayers under proper accounting practice for the whole billing authority area. There is no requirement to provide separate figures in respect of the Designated Areas. (This amount should exclude any credits owed to ratepayers or prepayments received for future years, see line 29, or costs for liability orders – costs are 100% attributable to the billing authority and should not be included in the NNDR3, or amounts relating to Business Rates Supplements).

The figure should be entered as a positive number.

Line 29:          Sums owed to ratepayers
Data Cell.      Authorities need to enter data.

Authorities need to enter the sums owed to ratepayers including credit balances and prepayments for future years - they should enter the figure owed to ratepayers for the whole billing authority area. There is no requirement to provide separate figures in respect of the Designated Areas.

The figure should be entered as a negative number.

Part 2 DA Summary

In Part 2 DA Summary, authorities with designated areas are required to provide a breakdown of the entries in lines 13 – 17 of Part 2, for each of their designated areas.  Authorities without designated areas should not fill in Part 2 DA Summary.

Part 2 DA Summary will automatically show all of an authority’s individual designated areas when the authority’s name is selected from the dropdown menu in Part 1 of the NNDR3. If an authority believes that any designated area has been omitted from the list they should contact NNDR.statistics@levellingup.gov.uk

Freeports not Designated in 2023-24 (Thames and Humber Freeports) will not appear in the list in Part 2 DA Summary.

The designated areas shown in this Part of the NNDR3 reflect the Enterprise Zones and New Development Deals (NDDs), Freeports and other Designated Areas that were in existence during 2023-24. 6 Freeport tax sites were designated from 1 April 2023 (see note F) and therefore these tax sites will appear in part 2 DA Summary for this year. Values for the Thames and Humber Freeports should be entered in Part 2A lines 23 - 26.

Column 1: Collectable Rates

Authorities need to enter the collectable rates payable in each designated area – in other words, the net amount receivable from ratepayers in the designated area, after taking account of transitional and empty property relief, mandatory and discretionary reliefs, and after having made the necessary accounting adjustments.  The figures entered in column 1 are summed in the line “Total Designated Area Value” at the top of Part 2DA Summary. Authorities must ensure that the sum of the entries for collectable rates is equal to the figure in Part 2, line 12, column 2.

Column 2: Renewable Energy

Authorities need to make entries in respect of the rates that will be collectable from qualifying renewable energy schemes in each designated area in the authority in 2023-24. The sum of the entries in column 2 will automatically be shown against the line “Total Designated Area Value” at the top of Part 2DA Summary. This figure will be automatically taken forward into Part 2, line 14, column 2 [Renewable Energy].

Amounts collectable from ratepayers should be entered as a positive figure.

Column 3: Shale Oil and Gas scheme sites

Authorities need to make entries in respect of the rates that will be collectable from qualifying Shale Oil and Gas sites in each designated area in the authority in 2023-24. The sum of the entries in column 2 will automatically be shown against the line “Total Designated Area Value” at the top of Part 2 DA Summary. This figure will be automatically taken forward into Part 2, line 15, column 2 [Shale Oil and Gas Scheme sites].

Amounts collectable from ratepayers should be entered as a positive figure.

Column 4: Transitional Protection Payment

Authorities need to make entries in respect of the transitional protection payments due to, or from, each designated area in 2023-24.  As set out in “Note I”, for 2023-24 these will include the cost of changes to transitional amounts in respect of previous years.

The figures for each designated area are summed in the line “Total Designated Area Value” at the top of Part 2DA Summary. This figure will be automatically taken forward into Part 2, line 16, Column 2 [Transitional Protection Payment].

These amounts should be entered as:

-           positive figures where the transitional arrangements result in a net loss of income and a transitional protection payment is due from Government

-           negative figures where the transitional arrangements result in a net gain of income and a transitional protection payment is due to Government. This only applies in respect of previous years, as the terms of the transitional arrangements introduced in 2023 are different.  

Column 5: Baseline

Pre-filled Column. Authorities are not required to enter data.

In accordance with the Non-Domestic Rating (Designated Area) Regulations 2013 to 2018, 2021 and 2023, baselines are uprated each year in accordance with formulae set out in the Regulations. In accordance with the regulations, the baselines for 2023-24 were adjusted to reflect the impact of the revaluation. These uprated baselines are taken from the 2023-24 NNDR1, where local authorities calculated the uprating of the baselines and entered the figures into the form.

The baselines for each designated area are automatically entered in column 5 and summed in the line “Total Designated Area Value” at the top of Part 2DA Summary. This figure is automatically taken forward into Part 2, line 17, column 2 [Baseline].

Column 6: Total Disregarded Amounts

Column 6 will automatically calculate the amount to be disregarded for each designated area.  For each designated area the calculation is column 1 minus column 2, minus column 3, plus column 4, minus column 5. The calculated figure for each designated area cannot be less than zero. The formula will set the cell to zero if the calculation produces a negative number.

The figures for each designated area are summed in the line “Total Designated Area Value” at the top of Part 2DA Summary. This figure will automatically be taken forward into Part 2 line 18 [Total Disregarded Amounts]. 

Columns A and B: EZ Relief

For information purposes, authorities are required to enter at column A, the total amount of relief they awarded in each designated area in respect of “Case A” properties. The figures for each designated area are summed in the line “Total Designated Area Value” at the top of Part 2DA Summary. This figure populates the figure in Part 3, line 41 column 2 [Relief given to Case A hereditaments], but expressed as positive value.

For completeness, column B shows the compensation for Case A relief the authority will receive in respect of each designated area. It is equivalent to the figure in column A multiplied by (1 + adj_factor). For non-100% business rates retention authorities, the actual amount deducted from the central share is the amount in column A, and the difference between columns A and B (the multiplier cap compensation amount) is included in Part 4 line 54, And paid via s.31 grant.

Authorities should not enter data in respect of Freeports in these columns. Data about Freeport relief awarded should be entered in Part 3 Line 43 [Relief given to Freeports]

Part 3: Gross Rates Payable and Reliefs

Part 3 collects information on the amounts charged and reliefs given by local authorities. Authorities are required to enter their figures for Gross Rates Payable, from which the form calculates net rates payable based on the data entered for transitional arrangements, mandatory and discretionary reliefs. Figures provided in Part 3 are also used for calculations in other parts of the form, calculations of s. 31 grant due to authorities, calculations of the amount for deduction from the central share if required, and for levy and safety net calculations.

In this section, authorities without designated areas only need to complete column 1. Do not enter any figures in areas that are greyed out.

For those authorities with designated areas, separate figures are required for the designated area. These should be entered in column 2. Columns 1 and 2 will be automatically summed in column 3.

Note H: Gross Rates Payable

Lines 1 & 2 set out authorities’ gross rates payable – the estimated amount that would be payable by ratepayers in the absence of transitional arrangements and any reliefs. It forms the starting point for the calculation of authorities’ net rates payable, which itself is the first step in the calculation of non-domestic rating income for the purposes of the rates retention scheme.  

The “Gross Rates Payable” (GRP) lines require local authorities to enter both their in-year liability and their liability in respect of prior years.

This provides necessary information on the split of in-year and prior years’ liabilities on GRP, which is already given by local authorities in Part 3 for other aspects of the system, such as reliefs.

Lines 1 & 2 should exclude the amounts of the small business supplement which is included in lines 12 & 13.

Line 1: Gross Rates Payable in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

In line 1, authorities should enter the total gross rates payable in respect of 2023-24 only (see Note H). This should be the total gross rates payable before any small business supplement, transitional arrangements or reliefs are applied. It should not include any adjustments for prior years, which should be entered in line 2.

When entering the figure for gross rates payable, authorities should enter the figure excluding any additional yield generated from the small business supplement in 2023-24 as this is already captured within the mandatory reliefs section lines 12 and 13, as it is a feature of the small business rate relief scheme. Where appropriate, separate figures are required in respect of designated areas and the rest of the billing authority’s area. These should be entered in columns 1 and 2. They will be automatically summed in column 3.

Line 2:            Adjustments to gross rates payable in respect of previous years
Data Cell.      Authorities need to enter data.

In line 2, authorities should enter a value for gross rates payable in respect of previous years for which adjustments have not been recorded in a previous NNDR3 return (see Note H). This should be the total gross rates payable before any small business supplement, transitional arrangements or reliefs are applied. It should not include any gross rates payable in respect of 2023-24, which should be entered in line 1.

Where appropriate, separate figures are required in respect of designated areas and the rest of the billing authority’s area. These should be entered in columns 1 and 2. They will be automatically summed in column 3.

Note I: Transitional Arrangements

The transitional arrangements introduced following Revaluation 2023, are in effect for 3 years, as implemented by the Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2022 (SI 2022/1403).  As a result, in 2023-24, ratepayers’ non-domestic rates bills (before reliefs) will be based on their full rateable values minus any applicable transitional arrangement amount.  Accordingly, billing authorities will have awarded transitional relief in respect of 2023-24 non-domestic rates bills.  In addition, there may have been changes to the transitional amounts awarded in respect of previous years), arising from backdated changes to bills. Lines 3-5 therefore seek information from authorities on the level of changes, in 2023-24, of changes to transitional amounts in respect of that year and in respect of previous years (i.e. arising from backdated changes made during 2023-24). Line 6 calculates the Net cost of the transitional arrangements.

In 2015-16, 2016-17 and 2021-22 alternative relief arrangements, “in lieu of transition”, were in place. For 2015-16 and 2016-17 this is in part 3 lines 50 and for 2021-22 Supporting Small Business Relief/ in lieu of transition relief in part 3 line 56 (see Note Q)

The cost of the transitional arrangements should be determined before taking into account any other reliefs or the addition of small business supplement.

Line 3:            Revenue foregone in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.  

Authorities should enter the total by which the chargeable amounts due from all ratepayers for each day of 2023-24 were reduced as a result of applying the Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2022 (SI 2022/1403). 

The entry should be a negative number. 

Line 4: Revenue foregone in respect of previous years’ liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the total amount of any adjustment to the reduction in the chargeable amounts due from all ratepayers in respect of previous years as a result of applying the Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2009 (SI 2009/3343), the Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2016 (SI 2016/1265) or Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2022 (SI 2022/1403).

In calculating the numbers, authorities should take no account of empty property relief or other reliefs to which a ratepayer might be entitled. Nor should they take account of any contribution made by ratepayers to the cost of the small business rates relief scheme by those who are not eligible for small business rate relief.

If the adjustment in respect of previous years has increased the amount of relief due to ratepayers in respect of those years, authorities should enter a negative number.

If the adjustment in respect of previous years has decreased the amount of relief due to ratepayers in respect of those years, authorities should enter a positive number.

Line 5: Additional income received in respect of previous years’ liability
Data Cell. Authorities need to enter data.

Authorities need to enter the total amount of any adjustment to the transitional surcharge due from ratepayers in respect of previous years, as a result of applying the Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2009 (SI 2009/3343), the Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2016 (SI 2016/1265) or Non-Domestic Rating (Chargeable Amounts) (England) Regulations 2022 (SI 2022/1403).

In calculating the numbers, authorities should take no account of empty property relief or other reliefs to which a ratepayer might be entitled. Nor should they take account of any contribution made by ratepayers to the cost of the small business rates relief scheme by those who are not eligible for small business rate relief.

If the adjustment in respect of previous years has increased the higher chargeable amounts due from ratepayers in respect of those years, authorities should enter a positive number.

If the adjustment in respect of previous years has reduced the higher chargeable amounts due from ratepayers in respect of those years, authorities should enter a negative number.

Line 6: Net cost of transitional arrangements
Information Cell. Authorities are not required to enter data.

Line 6 provides the net cost of the transitional arrangements in 2023-24. It is calculated as the sum of lines 3 to 5.

Note J: Mandatory Reliefs  

Mandatory reliefs are granted to eligible ratepayers in accordance with the Local Government Finance Act 1988. Lines 7 – 22 seek information from authorities on the amount of mandatory relief provided in 2023-24 and in respect of previous years. Line 23 provides the total mandatory reliefs calculated from lines 7-22.

The cost of mandatory reliefs should be found after taking account of the transitional arrangements and the requirements contained within section 44A of the Local Government Finance Act 1988. Only one mandatory relief can apply to a property at any one time.

Small Business Rates Relief

Line 7: Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the total cost of small business rate relief awarded in respect of the 2023-24 rating liability in accordance with the Non-Domestic Rating (Small Business Rate Relief) (England) Order 2012 (SI 2012/148) (as amended).

For the avoidance of doubt, the total amount of relief should reflect the permanent doubling of small business rates relief, and the threshold changes, as announced at Budget 2017, and the amounts awarded where a ratepayer has occupied a second property but retained their relief in accordance with the Non-Domestic Rating (Small Business Rates Relief) (England) (Amendment) Order 2014 (SI 2014/43) entitling them to keep the small business rate relief on their first property for a period of 12 months.

The estimate should take account of any reduction in the amount that can be charged against rateable values under section 44A of the 1988 Act (partly occupied properties).

Authorities will be compensated for their loss of income on any eligible relief given by means of s.31 grant (see Part 4 of this form).

The entry should be a negative number.

Line 7a: Relief on existing properties where a 2nd property is occupied
Data Cell.      Authorities need to enter data.

Authorities need to enter how much (if any) of the small business rate relief (shown in line 7) was given to occupiers who, during the course of 2023-24, would have ceased to be eligible for small business rate relief, by virtue of occupying any additional property had it not been for the Non-Domestic Rating (Small Business Rates Relief) (England) (Amendment) Order 2014 (SI 2014/43) entitling them to keep the small business rate relief on their first property for a period of 12 months.

Authorities will be compensated for their loss of income on any relief given by means of s.31 grant (see Part 4 of this form).

The entry should be a negative number.

Line 8: Adjustments to relief provided in respect of previous years
Data Cell. Authorities need to enter data.

Authorities need to enter the total amount of any adjustment to the cost of small business rate relief awarded in respect of previous years in accordance with the Non-Domestic Rating (Small Business Rate Relief) (England) Order 2012 (SI 2012/148), (as amended).  For the avoidance of doubt, the total amount of relief should, as appropriate, reflect the doubling of small business rates relief and the amounts awarded where a second property was occupied and eligibility for small business rates relief continued in accordance with The Non-Domestic Rating (Small Business Rates Relief) (England) (Amendment) Order 2014 (SI 2014/43).

A negative number should be entered in respect of adjustments that have increased the amount of relief given in respect of previous years.

A positive number should be entered in respect of adjustments that have reduced the amount of relief given in respect of previous years.

Line 8 should be equal to the sum of lines 9, 10 and 11.

Line 9: Adjustments in respect of 2012-13 and earlier
Data Cell. Authorities need to enter data.

Authorities may enter how much (if any) of the adjustment made at line 8 relates to financial years prior to 2013-14.

A negative number should be entered in respect of adjustments that have increased the amount of relief given in respect of years prior to 2013-14.

A positive number should be entered in respect of adjustments that have reduced the amount of relief given in respect of years prior to 2013-14.

Taken together with lines 10 and 11, these values should equal line 8.

Line 9a:          Adjustments to relief on existing properties where a 2nd property is occupied in respect of 2012-13 and earlier
Data Cell.      Authorities need to enter data.

Authorities need to enter how much (if any) of the adjustment made at line 9 relates to changes in the amount of relief given in respect of years prior to 2013-14 on existing properties where a second property is occupied. This amount must not exceed the value shown in line 9.

A negative number should be entered in respect of adjustments that have increased the amount of relief given in respect of years prior to 2013-14.

A positive number should be entered in respect of adjustments that have reduced the amount of relief given in respect of years prior to 2013-14.

Line 10:          Adjustments in respect of 2013-14 to 2016-17
Data Cell.      Authorities need to enter data.

Authorities need to enter how much (if any) of the adjustment made at line 8 relates to the financial years 2013-14, 2014-15, 2015-16 and 2016-17 (i.e. the four years immediately preceding the Budget 2016 announcement regarding changes to thresholds).

The adjustment in respect of 2013-14, 2014-15, 2015-16 and 2016-17 will be taken into account in working out the s.31 payment due to authorities for 2023-24 (see Part 4 of this form).

A negative number should be entered in respect of adjustments that have increased the amount of relief given in respect of 2013-14 to 2016-17.

A positive number should be entered in respect of adjustments that have reduced the amount of relief given in respect of 2013-14 to 2016-17.

Together with lines 9 and 11, these values should equal line 8.

Line 10a:        Adjustments to relief on existing properties where a 2nd property is occupied in respect of 2013-14 to 2016-17
Data Cell.      Authorities need to enter data.

Authorities need to enter how much (if any) of the adjustment made at line 10 relates to changes in the amount of relief given in respect of years 2013-14 to 2016-17, on existing properties where a second property is occupied. This amount must not exceed the value shown in line 10.

The adjustment will be taken into account in working out the s.31 payment due to authorities for 2023-24 (see Part 4 of this form).

A negative number should be entered in respect of adjustments that have increased the amount of relief given in respect of 2013-14 to 2016-17.

A positive number should be entered in respect of adjustments that have reduced the amount of relief given in respect of 2013-14 to 2016-17.

Line 11:          Adjustments in respect of 2017-18 to 2022-23
Data Cell.      Authorities need to enter data.

Authorities need to enter how much (if any) of the adjustment made at line 8 relates to the financial years 2017-18, 2018-19, 2019-20, 2020-21, 2021-22 and 2022-23 (i.e. financial years since the thresholds changes announced at Budget 2016).

The adjustment in respect of 2017-18, 2018-19, 2019-20, 2020-21, 2021-22 and 2022-23 will be taken into account in working out the s.31 payment due to authorities for 2023-24 (see Part 4 of this form).

A negative number should be entered in respect of adjustments that have increased the amount of relief given in respect 2017-18 to 2022-23.

A positive number should be entered in respect of adjustments that have reduced the amount of relief given in respect of 2017-18 to 2022-23.

Together with lines 9 and 10, these values should equal line 8.

Line 11a: Adjustments to relief on existing properties where a 2nd property is occupied in respect of 2017-18 to 2022-23
Data Cell. Authorities need to enter data.

Authorities need to enter how much (if any) of the adjustment made at line 11 relates to changes in the amount of relief given in respect of 2017-18 to 2022-23 on existing properties where a second property is occupied. This amount must not exceed the value shown in line 11.

The adjustment will be taken into account in working out the s.31 payment due to authorities for 2023-24 (see Part 4 of this form).

A negative number should be entered in respect of adjustments that have increased the amount of relief given in respect of 2017-18 to 2022-23.

A positive number should be entered in respect of adjustments that have reduced the amount of relief given in respect of 2017-18 to 2022-23.

Line 12: Additional yield from the small business supplement in 2023-24
Data Cell. Authorities need to enter data.

Authorities need to enter the total additional yield generated from all properties in their billing authority area via the small business supplement for 2023-24.

For each property liable for the non-domestic rating multiplier, this is the difference between the chargeable amount for the hereditament found by multiplying its RV by the small business multiplier (0.499) and the chargeable amount for that property found by multiplying its RV by the non-domestic rating multiplier of 0.512. 

The entry should be a positive number.

Line 13:          Adjustments to the yield from the small business supplement in respect of previous years
Data Cell.      Authorities need to enter data

Authorities need to enter the total amount of any adjustment to the total additional yield generated from all properties in their area via the small business supplement as for line 12 in respect of previous years.

A positive number should be entered in respect of adjustments that have increased the additional yield in respect of previous years.

A negative number should be entered in respect of adjustments that have reduced the additional yield in respect of previous years.

Charitable occupation

Line 14:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data

Authorities need to enter the reduction in the total chargeable amount due in respect of the 2023-24 rates liability as a result of applying 80% mandatory relief to hereditaments occupied by charities, in accordance with section 43(5)(a) and (6) of the Local Government Finance Act 1988.

The entry should be a negative number.

Line 15:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment for charitable relief given in respect of previous years.

The adjustment should be calculated as:

• the amounts of any such reductions in respect of days in a preceding year which have not been taken into account in a calculation for a preceding year; less

• the amounts of any such reductions in respect of days in a preceding year which have been taken into account in a calculation for a preceding year but which, on the basis of the information now available, should not have been.

A negative number should be entered in respect of adjustments that have increased the charitable relief in respect of previous years.

A positive number should be entered in respect of adjustments that have reduced the charitable relief in respect of previous years.

Community Amateur Sports Clubs (CASCs)

Line 16:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of the reduction in the total chargeable amount due in respect of the 2023-24 rates liability as a result of applying 80% mandatory relief to hereditaments occupied by Community Amateur Sports Clubs (CASCs), in accordance with section 43(5) and (6)(b) of the Local Government Finance Act 1988.

The entry should be a negative number.

Line 17:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment for relief given to CASCs in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Rural rate relief

Line 18:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of the reduction in the total chargeable amount due in respect of the 2023-24 rates liability as a result of applying 50% mandatory relief to rural general stores, post offices, public houses, petrol-filling stations and food shops, in accordance with section 43(6A) of the Local Government Finance Act 1988.

The entry should be a negative number.

Line 19:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment for the amounts of mandatory “rural” relief given in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Note K: Telecoms Relief

Telecoms relief ended on 31 March 2022. Local authorities should not have awarded any Telecoms relief in years after 2021-22, however, they may need to amend the relief they awarded in respect of years between 1 April 2017 and 31 March 2022.

The Telecoms relief was a 100% rate relief scheme for new telecom fibre. It applied from 1 April 2017 for 5 years. The scheme was implemented by the Telecommunications Infrastructure (Relief from Non-Domestic Rates) Act 2018.

The scheme was primarily administered by the Valuation Office Agency who  identified eligible networks and provide local authorities with a certificate of the rateable value of the new fibre. Local authorities were then required to apply a simple percentage relief (calculated from the certificate) to the chargeable amount of the eligible hereditaments.

A description of how to calculate the relief is given at paragraphs 18 and 19 of the government’s consultation on the fibre relief  and can also be found in the formula for ‘F’ in regulation 4 of the associated regulations.

Telecoms Relief

Line 20:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in Telecoms Relief given to ratepayers in respect of years in which the relief applied (1 April 2017 to 31 March 2022). This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Note L: Public Lavatories relief

At the 2018 Autumn Budget the government announced its intention to bring forward legislation for a 100% relief on Public Lavatories. This scheme was implemented by the Non-Domestic Rating (Public Lavatories) Act 2021 which received royal assent in April 2021. This Act provides a 100% business rates relief for separately assessed public toilets, including those being operated by local authorities. Billing authorities should have regard to the provisions of the Act when calculating the amount of Public Lavatories relief they award in their local area.

Authorities should enter the amount of any qualifying Public Lavatories relief they have awarded for the 2023-24 financial year in line 21.

The Public Lavatories relief applied from 2020-21, and as such, authorities should ensure that any qualifying relief amended in respect of prior years dating back to 2020-21 is entered in line 22.

Public lavatories Relief

Line 21:          Amount of relief in respect of 2023-24 liability
Data Cell. Authorities need to enter data.

At line 21 authorities should show the cost of any Public Lavatories relief they have awarded in in respect of 2023-24 in line with the Non-Domestic Rating (Public Lavatories) Act 2021.

Authorities will be compensated for their loss of income on any relief given by means of s.31 grant (see Part 4 of this form).

The entry should be a negative number.

Where appropriate, separate figures are required for qualifying relief given to eligible Public Lavatories, in designated areas and the rest of the billing authority’s area. These should be entered in columns 1 and 2. They will be automatically summed in column 3.

Line 22: Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

Authorities need to enter the amount of any adjustment for the amounts of public lavatory relief given in respect of previous years dating back to 2020-21. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years] (see Note L).

Total Mandatory Relief

Line 23: Total
Information Cell. Authorities are not required to enter data.

Line 23 columns 1 and 2 show the total amounts of mandatory relief given by the authority in 2023-24, including prior year adjustments. These are automatically calculated as the sum of lines 7, 8, and 12–22.

The total amount of mandatory relief in the billing authority area is given as the sum of the designated area relief (if any) given in column 2, plus the relief given in the rest of the authority’s billing area (column 1).

Note M: Unoccupied Property

Rates are only payable by owners of unoccupied property in the circumstances set out in section 45 of the Local Government Finance Act 1988 and the Non-Domestic Rating (Unoccupied Property) (England) Regulations 2008 (SI 2008/386). 

The sum payable is zero in the circumstances set out in section 45A of the Act. The rates revenue foregone because property is unoccupied will reduce the authority’s gross rates payable. Lines 24 – 27 provide for the authority to enter the sums foregone on unoccupied properties, with the total automatically calculated by line 28. 

The rates forgone on partly empty property (section 44A) should be calculated after taking account of the transitional arrangements but before any other reliefs.

Partially occupied hereditaments

Line 24:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of the reduction in the chargeable amount due in respect of the 2023-24 rates liability as a result of the rateable value of a hereditament being apportioned between its occupied and unoccupied parts under s.44A of the Local Government Finance Act 1988.

The entry should be a negative number.

Line 25:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in respect of the amounts of s.44A reductions in previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Empty Premises

Line 26:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of the reduction in the total chargeable amounts due from ratepayers in respect of the 2023-24 rates liability as a result of premises being unoccupied and, therefore, with a nil liability for business rates for a period, in accordance with the Non-Domestic Rating (Unoccupied Property) (England) Regulations 2008 (SI 2008/386).

The entry should be a negative number.

Line 27:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in unoccupied property relief given in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Line 28:          Total unoccupied property relief
Information Cell. Authorities are not required to enter data.

Line 28 columns 1 and 2 show the total amount of unoccupied property relief given by the authority in 2023-24, including prior year adjustments. These are automatically calculated as the sum of lines 24 – 27.

The total amount of unoccupied property relief is given as the sum of the designated area relief (if any) given in column 2, plus the relief given in the rest of the authority’s billing area (column 1).

Note N: Discretionary Relief (unfunded)

Authorities can grant discretionary relief to ratepayers in accordance with sections 47 and 49 of the Local Government Finance Act 1988. Lines 29–43 require information from authorities about the amount of discretionary relief given in 2023‑24.

Figures entered in lines 29–43 should exclude those discretionary reliefs named in lines 45 - 64; which, in line with undertakings at previous Autumn Statements and  Budgets, will be compensated through s.31 grant.

Discretionary relief should be calculated after taking account of transitional relief, section 44A and any mandatory relief. Rating law does not distinguish between different types of discretionary relief. For the purposes of collecting this information authorities should have regard to the relevant relief scheme guidance documents published by the government.

Charitable occupation

Line 29:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of the total discretionary “top-up” relief they gave to charities in respect of the 2023-24 rates liability, under s.47 of the Local Government Finance Act 1988. This is the amount of additional relief given to ratepayers in receipt of the mandatory relief.

The entry should be a negative number.

Line 30:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in discretionary charitable top-up relief given in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Non-profit making bodies

Line 31:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of the total discretionary relief they gave to non-profit making bodies in respect of the 2023-24 rates liability under s.47 of the Local Government Finance Act 1988.

The entry should be a negative number.

Line 32:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in discretionary relief given to non-profit making bodies in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Community Amateur Sports Clubs (CASCs)

Line 33:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the total amount of discretionary “top-up” relief they gave to community amateur sports clubs (CASCs) in respect of the 2023-24 rates liability, under s.47 of the Local Government Finance Act 1988. This is the amount of additional relief given to ratepayers in receipt of the mandatory relief.

The entry should be a negative number.

Line 34:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in discretionary top-up relief given to CASCs in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Rural shops etc

Line 35:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the total amount of discretionary relief given to rural general stores, post offices, public houses, petrol-filling stations and food shops in respect of the 2023-24 rates liability under s.47 of the Local Government Finance Act 1988. This is the amount of additional relief given to ratepayers on top of any mandatory relief.

At Autumn Statement 2016, the government announced that rural rate relief would be doubled with effect from 1 April 2017.  The Non-Domestic Rating Act 2023 received Royal Assent in October 2023, and applies the doubling of mandatory relief from 50 to 100% from 1 April 2024. In advance of this, authorities can use their discretionary powers under s.47 to apply the “doubling” and where they do so, will be compensated via a s.31 grant.

If authorities have decided to increase, but not double rural rate relief, authorities should enter the increased amount in line 35.

If authorities used their power to grant discretionary relief to “double” the amount of mandatory relief they gave to rural general stores, post offices, public houses, petrol-filling stations and food shops in 2023-24, they should use line 51 [Rural rate relief] to show the amount of discretionary relief they gave.

The entry should be a negative number.

Line 36:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in respect of the amounts of discretionary relief given to rural general stores, post offices, public houses, petrol-filling stations and food shops in previous years in excess of the 50% relief, but without doubling the relief, under s. 47 of the Local Government Finance Act 1988.

If authorities have doubled the rural rate relief, they should instead input this value in line 52. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Small rural businesses

Line 37:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

Authorities need to enter the total amount of discretionary relief they gave to other rural businesses in respect of the 2023-24 rates liability under s.47 of the Local Government Finance Act 1988. This is the amount of relief given to ratepayers who are not in receipt of mandatory rural rate relief.

The entry should be a negative number.

Line 38:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in discretionary relief given to other rural businesses in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Other ratepayers

Line 39:          Amount of relief in respect of 2023-24 liability
Data Cell.      Authorities need to enter data.

As a result of changes introduced by the Localism Act 2011, authorities are now entitled to give discretionary relief under s.47 of the Local Government Finance Act 1988, to any ratepayer.

Lines 29 – 38 above separately identify the relief given to charities, non-profit making bodies, CASCs and rural businesses (in other words, those bodies eligible for discretionary relief prior to the Localism Act 2011).

In line 39, authorities need to enter the total amount of discretionary relief given in both designated areas where applicable (column 2) and in the rest of the billing authority area (column 1) in respect of the 2023-24 rates liability under s.47 of the Local Government Finance Act 1988, other than:

i. discretionary relief given to charities, non-profit making bodies, CASCs and rural businesses;

ii. any funded discretionary reliefs for which authorities will be compensated through a s.31 grant, (explicitly stated in lines 45 - 64). To note: Freeports relief and qualifying relief for Case A and Case B hereditaments in 100% rates retention areas should be included in this line.

The entry should be a negative number.

Line 40:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

Authorities need to enter the amount of any adjustment in discretionary relief in both designated areas where applicable (column 2) and in the rest of the billing authority area (column 1) (as described in Line 39, above) in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Lines 41 and 42: Relief given to Case A hereditaments and Case B hereditaments
Data Cell.      Authorities need to enter data.

Lines 41 and 42 relate to the amount of discretionary relief given to “Case A” and “Case B” hereditaments in a designated area. The amounts in lines 41 and 42 are a sub-set of the figures in lines 39 and 40. In other words, the amount of relief given to “Case A” and “Case B” properties should already be part of the totals in lines 39 and 40. The amount in line 41 is drawn from the aggregate value of Case A relief awarded in the authority’s designated area(s) in column A, Part 2 DA Summary. In line 42 authorities should input the value of Case B relief they have awarded, if any.

“Case A” and “Case B” hereditaments are defined in schedule 2 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended). A “Case A” hereditament is situated in part of a designated area for which the billing authority is entitled to both retain the growth in business rates and be reimbursed for any discretionary relief they award. A “Case B” hereditament is situated in part of a designated area for which authorities are only entitled to be reimbursed for the discretionary relief awarded.

Please note that any continuation of this discretionary relief beyond the 5-year business rate discount period, will not be compensated and should be included in lines 39 and or 40, but should not be included in lines 41 or 42.

The figure that authorities enter at line 42 should be the total amount of discretionary relief authorities actually awarded to businesses meeting the requirements of case B – in other words, authorities should not enter the amounts of “qualifying relief”, (as defined in paragraphs 2 and 3 schedule 2 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452)).

The amount of qualifying relief for which authorities will be compensated is automatically calculated for non-100% rates retention authorities in two places of Part 4 of the form. Part 4, line 16 gives the amount to be deducted from the central share and line 54 includes the amount of compensation for the Multiplier Cap (to be compensated via s.31 grant), for the relief awarded. 100% business rates retention authorities are compensated solely via s.31 grant, as calculated in part 4 line 57, including the compensation for the multiplier cap. The total amount of qualifying relief is given for all eligible authorities in Part 2DA Summary Column B. Both amounts of qualifying relief are added to authorities’ “other income” in Part 5 (see Part 5, line 8, and lines 2 (non-100% authorities) and 10, as applicable).

The figure entered in line 42 should be the sum of:

the amount of relief awarded in respect of the 2023-24 rates liability

plus

the amount (if any) of any adjustment to the amounts of relief given to case B properties in respect of previous years.

The entry should be a negative number. A positive number should only be entered if adjustments that have reduced discretionary relief given to ratepayers in respect of previous years exceed by more than £1 the relief given in 2023-24.

Line 43:          Relief given to Freeports
Data Cell. Authorities need to enter data.

Line 43 applies only to those authorities with a Freeport (see Note F).

Authorities may award 100% business rates relief on certain businesses premises within Freeport Tax sites. Eligible businesses will receive relief for five years from the point at which they first receive relief, provided this is by 30 September 2031. The cost of this relief will be funded by central government.

In line 43, authorities need to enter the total amount of any relief awarded to eligible properties in Freeport Tax Site in respect of 2023-24.

In 2023-24, the following Freeport tax sites were designated - East Midlands Freeport, Freeport East, Liverpool City Region Freeport, Plymouth and South Devon Freeport, Solent Freeport and Tees Freeport. The billing authorities for these Freeports will also need to enter data in Part 2 DA Summary

In 2023-24 the following Freeport tax sites were not designated – Thames Freeport and Humber Freeport. The billing authorities for these Freeports will also need to enter data in Part 2 Lines 23 – 26.

Where the Freeport tax site was designated in 2023-24, local authorities should enter data in column 2. Where the Freeport tax site was not designated in 2023-24, local authorities should enter data in column 1.

The amount entered in line 43 is a sub-set of the figures in line 39 and 40, and should include adjustments for prior years, if any. In other words, the amount of relief given to eligible properties in the Freeport Tax site should already be part of the totals in line 39 and 40.

The entry should be a negative number. The actual amount of compensation due to the authority is calculated in Part 4, line 64 [Freeport Relief].

Total Discretionary Relief (Unfunded)

Line 44:          Total Discretionary Relief (unfunded)
Information Cell. Authorities are not required to enter data.

Line 44, columns 1 and 2 show the total amount of discretionary relief (not funded via s.31 grants) given by the authority in 2023-24. These are automatically calculated as the sum of lines 29 – 40.

The total amount of discretionary relief not funded by s.31 grant* in the billing authority area (column 3) is given as the sum of the designated area relief (if any) given in column 2, plus the relief given in the rest of the authority’s billing area (column 1).

*Though this consists mainly of unfunded reliefs, it does also include Freeports relief and qualifying (Case A/B) relief in 100% rates retention areas, both of which are funded via s.31 grant.

Note O: Discretionary Relief Funded Through S.31 Grant

Where an authority has given discretionary relief under section 47 of the Local Government Finance Act 1988, for any “relief” listed in lines 45-64 for which Government has committed to provide compensation via a s.31 grant, authorities should provide the amounts of relief given.

Local authorities should apply discretionary relief for which compensation is received via s.31 grant as set out in the relevant relief scheme guidance documents published by the government (also see Note N).

New Empty properties

Line 45:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

In the Autumn Statement 2012, government announced its intention to give “new empty” rate relief for up to 18 months. The scheme introduced by the government from 1 October 2013 provided for authorities to be reimbursed for any discretionary relief they awarded to qualifying ratepayers using their powers under s.47 of the Local Government Finance Act 1988. Details of qualifying ratepayers are set out in the guidance published by the department on 11 September 2013.

Authorities need to enter the amount of any adjustment in respect of the amounts of “new empty” rate relief given to qualifying ratepayers in previous years. This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

“Long-term empty” properties

Line 46:          Adjustments to amount of relief provided in respect of previous years
Data Cell.      Authorities need to enter data.

In the Autumn Statement 2013, government announced its intention that, from 1 April 2014, new occupiers of retail property that had been empty for more than a year should be given 50% relief for 18 months. Authorities were reimbursed for any discretionary relief they award to qualifying ratepayers using their powers under s.47 of the Local Government Finance Act 1988. Further guidance on eligibility is available here.

Authorities need to enter the amount of any adjustment in respect of previous years to the amounts of relief given to new occupiers of retail property that had been empty for more than a year. This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Retail Relief

Line 47:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

At the Autumn Statement 2013, government announced its intention that for 2014-15 and 2015-16, occupiers of shops, pubs and restaurants with a rateable value of £50,000 or less should receive a discount of £1,000 on their rates bills in 2014-15 and 2015-16. (At Autumn Statement 2014, the amount of the discount was increased to £1,500 for 2015-16).

Authorities were reimbursed for any discretionary relief they awarded to qualifying ratepayers using their powers under s.47 of the Local Government Finance Act 1988 in 2014-15 and 2015-16.

Authorities need to enter the amount of any adjustment in respect of previous years to the amounts of retail relief given. This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Note P: Flooding Relief

The department activated flooding relief schemes in 2023-24 as part of the Flood Recovery Framework in response to Storm Babet and Storm Henk.

• The schemes will run through 2023-24 (year 1) and 2024-25 (year 2). However, only relief provided in line with the activation of the Flood Recovery Framework relating to properties affected by Storms Babet and Henk for year 1 (2023-24) should be entered into line 48. Relief provided under these flooding relief schemes in year 2 will be collected in next year’s (2024-25) NNDR3.

The department also activated flooding relief schemes in 2019-20 as part of the Flood Recovery Framework in response to flooding events in that year.

• The 2019-20 scheme closed on 31 December 2022; therefore, eligible local authorities should only enter prior year adjustments for the 2019-20 scheme in line 49.

For any other flooding relief not already mentioned in this note (Note P) that local authorities wish to grant to businesses in their area for flooding events for which they are not eligible to receive compensation, this should be included in part 3 lines 39 and 40.

In addition to this, local authorities should enter any adjustments to reliefs awarded in relation to the Scheme activated in response to 2015-16 flooding events into part 3 line 40.

Flooding relief

Line 48:          Amount of relief in respect of 2023-24 liability
Data Cell. Authorities need to enter data.

The Flood Recovery Framework was activated in 2023-24, and therefore authorities are entitled to compensation for relief granted to qualifying ratepayers in respect of flooding incidents in that year.

Guidance on the eligibility criteria can be found here.

Authorities need to enter the total amount of flooding relief awarded to qualifying ratepayers in respect of the 2023-24 rates liability in accordance with the framework detailed at the link above.

The entry should be a negative number.

Line 49:          Adjustments to amount of relief provided in respect of 2019-20
Data Cell. Authorities need to enter data.

Authorities need to enter the amount of any adjustment in “flooding” relief given to ratepayers in respect of previous years for which they are eligible to be compensated by s.31 grant.

This should only include any adjustments to the eligible flooding relief granted in respect of the 2019-20 flooding events in those years for which the Flood Recovery Framework was activated.

Authorities should not enter any unfunded discretionary flooding relief in this line. This includes any relief local authorities have awarded after 31 December 2022. For any relief local authorities have awarded on or after 1 January 2023 in respect of the 2019-20 flooding events, the amounts should be entered into part 3 line 40.

Authorities should note that this will be the last year the Department will accept any adjustments for the 2019-20 activations.

This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15.

Note Q: Supporting Small Business Relief and Transitional Relief in lieu

At Autumn Budget 2021, a Scheme in lieu of supporting small business relief and transitional relief was announced for 2022-23. This Scheme extended transitional relief for businesses in lieu of the transitional relief scheme that ended on 31 March 2022, and subsumed the former supporting small business relief.

The Scheme joined together two reliefs that could be applied to businesses in previous years, and any adjustments to those relief schemes should be entered separately – in line 50 and 56.

• In Line 50, authorities should enter the value of any adjustments to the previous transitional relief in lieu scheme, that was in place for 2015-16 and 2016-17, in respect of those years.
• In Line 55, authorities should show the cost of any relief awarded as part of the Supporting small business scheme in 2023-24.
• In Line 56, authorities should enter both the value of any adjustments to the Supporting small business relief and transitional relief in lieu scheme in respect of 2022-23, and any Supporting small business relief adjustments for years prior to and including 2021-22. The breakdown of these amounts should then be given in lines 56a and b, where this is possible. If authorities are unable to provide a breakdown of the values required in Lines 56a and 56b, they should only enter the total value of prior year adjustments in Line 56.

Line 50:          In lieu of transitional relief scheme (2015-16 and 2016-17.)
Data Cell.  Authorities need to enter data.

See Note Q for details.

Authorities need to enter the amount of any adjustment in respect of the relief awarded to ratepayers in respect of previous years (2015-16 and 2016-17). This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Doubling of Rural Rate Relief

Line 51:          Amount of relief in respect of 2023-24 liability
Data Cell. Authorities need to enter data.

At Autumn Statement 2016, the government announced its intention to double rural rate relief with effect from 1 April 2017. Authorities may apply the doubling of relief to qualifying ratepayers in 2023-24 by using their powers to grant discretionary relief under s.47 of the 1988 Act. 

If authorities used their power to grant discretionary relief to “double” the amount of mandatory relief they gave to rural general stores, post offices, public houses, petrol-filling stations and food shops in 2023-24, they should use line 51 to show the amount of discretionary relief they gave.

If authorities have decided to increase, but not double rural rate relief in 2023-24, authorities should enter the increased amount in line 35 [Rural Shops etc] (not line 51).

Authorities need to enter the total amount of rural relief awarded to qualifying ratepayers in respect of the 2023-24 rates liability. 

The entry should be a negative number.

Line 52:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

Authorities need to enter the amount of any adjustment in rural rate relief given to other ratepayers as per line 51, in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

If authorities used their power to grant discretionary relief to “double” the amount of mandatory relief they gave to rural general stores, post offices, public houses, petrol-filling stations and food shops in prior years, they should use line 52 to show adjustments to the amount of discretionary relief they gave.

If authorities have decided to increase, but not double rural rate relief in prior years, authorities should enter any adjustments to amount in line 36 [Rural Shops etc] (not line 52).

Local Newspaper Relief

Line 53:          Amount of relief in respect of 2023-24 liability
Data Cell. Authorities need to enter data.

In January 2020 it was announced that the £1,500 discount on office space occupied by local newspapers would run until 31 March 2025. The government originally announced the local newspaper relief at Budget 2016, initially to run for 2017-18 and 2018-19, and then extended it for 2019-20 at Budget 2018.

In line 53, authorities should show the cost of any relief awarded to local newspapers in accordance with the guidance for which they expect to be reimbursed through s.31 grant.

Authorities need to enter the total amount of local newspaper relief awarded to qualifying ratepayers in respect of the 2023-24 rates liability.

The entry should be a negative number.

Line 54:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

Authorities need to enter the amount of any adjustment in local newspaper relief given to ratepayers in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Supporting Small Business Relief in 2023-24

Line 55:          Amount of relief in respect of 2023-24 liability
Data Cell. Authorities need to enter data.

See Note Q for details.

At line 55 authorities should show the cost of any relief awarded in respect of the Supporting small business scheme for 2023-24 in accordance with the guidance, for which they expect to be reimbursed through s.31 grant.

Find more information on the relief.

Line 56:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

Authorities need to enter both the amount of any adjustment in Supporting small businesses relief given to ratepayers in respect of previous years, and any adjustments to the Supporting small business relief and transitional relief in lieu scheme in respect of 2022-23. These adjustments should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years]. If authorities are unable to provide a breakdown of the values required in Lines 56a and 56b, they should only enter the total value of prior year adjustments in Line 56.

For the avoidance of doubt, any adjustments to the amounts of relief awarded under the In-lieu of transition scheme in place for 2015-16 and 2016-17 should not be included in line 56, they should be recorded in line 50.

Line 56a:        Adjustments only to amount of Supporting small business relief and transitional relief in lieu in respect of 22-23
Data Cell. Authorities need to enter data.

In line 56a, local authorities should enter the proportion of line 56 that is in respect of the Supporting small business relief and transitional relief in lieu in respect of 2022-23. If authorities are unable to provide a breakdown of the value required in Line 56a, they should only enter the total value of prior year adjustments in Line 56.

The total value of lines 56a and 56b should be equal to the amount entered in line 56.

Line 56b:        Adjustments to amount of relief provided in respect of previous years in respect of years prior to and including 2021-22
Data Cell. Authorities need to enter data.

In line 56b, local authorities should enter the proportion of line 56 that is in respect of Small business rates relief in respect of years prior to and including 2021-22. If authorities are unable to provide a breakdown of the value required in Line 56b, they should only enter the total value of prior year adjustments in Line 56.

The total value of lines 56a and 56b should be equal to the amount entered in line 56.

Discretionary Scheme Relief

Line 57:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

At Spring Budget 2017, the government announced a discretionary relief scheme to be administered by billing authorities for four years, from 2017-18 to 2020-21 following the 2017 revaluation. This relief took effect from 1 April 2017 and has now ended – further details on the relief can be found here.  

In line 57, authorities need to enter the amount of any adjustment in discretionary scheme relief given to ratepayers in respect of previous years.  This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Pub Relief (where RV is less than £100,000)

Line 58:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

At Spring Budget 2017, the government announced that the scheme of up to £1,000 relief to be administered to Pubs under the support for pubs scheme was to be made available to pubs with a rateable value under £100,000 (“Pub relief”). This relief first took effect for one year from 1st April 2017 but was extended into 2018-19 at Autumn Budget 2017 – find further details and guidance on the granting of the relief.

At line 58 authorities need to enter the amount of any adjustment in support for pubs relief given to ratepayers in respect of previous years. This line should not include any relief given to Pubs as part of the Retail, Hospitality and Leisure Relief as detailed in lines 59 and 60. This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Retail, Hospitality and Leisure Relief

Line 59:          Amount of relief in respect of 2023-24 liability
Data Cell. Authorities need to enter data.

At Autumn Budget 2022 the Chancellor announced that the retail, hospitality, and leisure relief would continue in to 2023-24 and increase from 50% to 75% (up to a cash cap of £110,000 per business). Further details and guidance on the granting of the relief can be found here.

Previously, in the 2018 Budget, the government announced the Retail Discount scheme for 2019-20 and 2020-21. At Spring Budget 2020, the Chancellor announced that the Retail Discount scheme would include the leisure and hospitality sectors from 1 April 2020-21. And, at Autumn Budget 2021, the Chancellor announced that the retail, hospitality and leisure relief would continue into 2022-23.

In line 59 authorities should enter the cost of any retail, hospitality and leisure relief in accordance with the guidance for 2023-24, for which they expect to be reimbursed through S.31 grant. 

The entry should be a negative number.

Line 60:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

In line 60, authorities need to enter the amount of any adjustment to the expanded Retail Hospitality and Leisure Relief (2020-21 to 2022-23) or original (2019-20) retail discount, they awarded in respect of previous years.

This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Nursery Relief

Line 61:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

In response to the Covid 19 pandemic a new 100% nursery discount for 2020-21 was introduced at Spring Budget 2020. The nursery discount was then extended into 2021-22 at Spring Budget 2021. Find further details and guidance on the granting of this relief.

Authorities need to enter the amount of any adjustment in nursery relief given to ratepayers in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Covid-19 Additional Relief Fund

Line 62:          Adjustments to amount of relief in respect of 2021-22 liability
Data Cell. Authorities need to enter data.

In March 2021 the government announced a £1.5 billion Covid-19 Additional Relief Fund (CARF) for businesses that had not received business rates support in response to the Covid-19 pandemic.

Billing authorities were responsible for designing the discretionary relief schemes in their areas and were awarded allocations of the total amount of relief they were able to award to eligible ratepayers.

CARF relief could be awarded in line with guidance after 2021-22, but any relief awarded to ratepayers must be awarded against 2021-22 liabilities.

Billing authorities were informed that if the relief they awarded exceeded their allocation, compensation would be capped at the local share of the total allocation, and the cost of any additional relief would be borne under the rates retention system as per unfunded s.47 discretionary relief.

Billing and Major Precepting Authorities will receive compensation based on the relevant share. The allocation being split with any designated area proportionate to the relief they have given.

In line 62, billing authorities should enter a figure for the amount of CARF relief awarded, or amended, in respect of the 2021-22 liability, for any relief or adjustments which they have not already included in the 2021-22 and 2022-23 NNDR3 forms. 

Low Carbon Heat Network Relief

Line 63:          Amount of relief in respect of 2023-24 liability
Data Cell. Authorities need to enter data.

In its Final Report of the Business Rates Review (October 2021), the government announced a 100% relief from 1 April 2023 for eligible low-carbon heat networks that have their own rates bill. At the Spring Statement 2022 it was announced that the introduction of the heat network relief would be brought forward and apply from 1 April 2022.

The relief is being delivered using existing local government discretionary relief powers ahead of its implementation as a Mandatory relief from 1 April 2024 following Royal Assent of the Non-Domestic Rating Act 2023. Further information on the Scheme for 2023-24 can be found here.

In line 63, billing authorities should enter a figure for the amount of low carbon heat network relief awarded in respect of the 2023-24 liability. The entry should be a negative number.

Line 64           Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

In line 64, billing authorities should enter a figure for the amount of low carbon heat network relief awarded in respect of the 2022-23 liability. The entry should be a negative number.

Total Discretionary Relief

Line 65:          Total Discretionary Relief
Information Cell. Authorities are not required to enter data.

Line 65, columns 1 and 2 show the total amount of discretionary relief (for which authorities will be reimbursed via s.31 grants where applicable) given by the authority in 2023-24. These are automatically calculated as the sum of lines 45 – 64.

Hardship Relief

Line 66:          Amount of relief in respect of 2023-24 liability
Data Cell. Authorities need to enter data.

Authorities need to enter the total amount of any hardship relief given to ratepayers in 2023-24, in accordance with section 49 of the Local Government Finance Act 1988.

The entry should be a negative number.

Line 67:          Adjustments to amount of relief provided in respect of previous years
Data Cell. Authorities need to enter data.

Authorities need to enter the amount of any adjustment in hardship relief given to other ratepayers in respect of previous years. This adjustment should be calculated and entered as a positive or negative figure, if applicable, as per the arrangement set out in line 15 [Charitable occupation, Adjustments to amount of relief provided in respect of previous years].

Line 68:          Total Hardship Relief
Information Cell. Authorities are not required to enter data.

Line 68 columns 1 and 2 show the total amount of hardship relief given by the authority in 2023-24. This is automatically calculated as line 66 plus line 67.

The total amount of hardship relief in the billing authority area (column 3) is given as the sum of the designated area relief (if any) in column 2, plus the relief in the rest of the authority’s billing area (column 1).

Reconciliation Section

The “reconciliation” section at the bottom of Part 3 allows local authorities to reconcile the figures for reliefs set out in Part 3 with their own revenue systems reports from which the figures entered into Part 3 were derived.

The figure for gross rates payable is the sum of lines 1 and 2 of Part 3. The figures for reliefs are automatically taken from lines 6 [Transitional arrangements], 23 [Mandatory Relief], 28 [Unoccupied Property Relief], 44 [Discretionary Relief (unfunded)], 65 [Discretionary Relief (funded s.31)] and 68 [Hardship Relief] of Part 3.

Figures for net rates payable are automatically calculated in the last line of the reconciliation section. These are automatically taken forward to Part 2, line 1 [Net Rates Payable].

Part 4: Transitional Protection Payments and Reconciliations

Part 4A provides for the end-of-year calculation of Transitional Protection Payments in accordance with the Non-Domestic Rating (Transitional Protection Payments Regulations) 2013 (as amended) (SI 2013/106).

As these regulations also effectively require any difference between the end-of-year calculations and the payments made on-account following the calculation of transitional protection payments in NNDR1s, to be paid by/to the authority, Part 4 also calculates the payments due.

Part 4B provides for the reconciliation of disregarded amounts as required by the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended) and the Cost of Collection. The reconciliation required by the regulations essentially involves the comparison of the amounts calculated in NNDR1 and NNDR3 forms in respect of the sums retained for Designated Areas and Designated Area relief, Cost of Collection, Renewable Energy, Shale Oil and Gas Projects, and the Port of Bristol. The difference between the NNDR1 and NNDR3 amounts results in a payment to/from the authority.

Part 4B also provides for the reconciliation of s.31 payments due to or from authorities in respect of those measures for which local authorities are to be compensated. The reconciliation involves the comparison of the amounts calculated in NNDR1 (and paid on account through 2023-24), and the amounts calculated on the basis of NNDR3 entries. The difference results in a payment to/from authorities. The calculations in Parts 4A and 4B are, at this stage, provisional. We intend to make payments to/from authorities after the submission of the “certified” NNDR3. Where this is not possible due to delays in local authority audit leading to delayed certified NNDR3 forms, we will in the first instance make reconciliations based on provisional forms. Subsequent reconciliation (where applicable) will follow receipt of the delayed certified NNDR3 forms. Please note that the Department continues to keep under review its approach to the timing of reconciliation of late NNDR3 forms.

The deadline for the submission of certified NNDR3s for 2023-24 is 30 September 2024. If authorities cannot submit their certified figures by this deadline, we ask that they let us know as soon as possible at: NNDR.Statistics@levellingup.gov.uk

This part of the NNDR3 2023-24 form is pre-filled with data taken from other parts of the form and as such there are no cells that require any data entry by authorities.

Part 4A: Transitional Protection Payments

Line 1:            Transitional protection payment due to (+) / from (-) the authority for 2023-24
Information Cell. Authorities are not required to enter data.

Line 1 automatically calculates the transitional protection payment due to/from the authority for 2023-24 based on the entries in Part 3, line 6. The calculation is Part 3, line 6 multiplied by -1.

Separate figures are included for designated areas in column 2 (where applicable) and the rest of the billing authority area in column 1. These are summed in column 3.

Line 2:            Payment on account received by authority (based on NNDR1 2023-24)
Pre-filled Cell. Authorities are not required to enter data.

These figures are pre-filled by DLUHC. They are the transitional protection payments paid to the authority, based on the authority’s NNDR1.

Separate figures are included for designated areas in column 2 (where applicable) and the rest of the billing authority area in column 1. These are summed in column 3.

Line 3:            Sum due to (+) / from (-) authority
Information Cell. Authorities are not required to enter data.

Line 3 automatically calculates the sum due to/from the authority. The calculation is line 1 minus line 2.

Where the figure at line 3 is a positive number, a payment is due to the Billing Authority. The anticipated receipt should be credited to the Collection Fund.

Where the figure at line 3 is a negative number, a payment is due from the Billing authority to Central Government. The anticipated payment should be charged to the Collection Fund.

Separate figures are included for designated areas in column 2 (where applicable) and the rest of the billing authority area in column 1. These are summed in column 3.

Part 4B: Reconciliations

Note R: Reconciliations

As explained elsewhere in these guidance notes, certain sums are excluded (‘disregarded’) from the calculation of the authority’s non-domestic rating income. Sums in respect of Designated Areas, qualifying renewable energy projects and Shale Oil and Gas projects, are excluded from the authority’s non-domestic rating income and instead of being shared between the parties to the rates retention scheme, are retained in their entirety by either the billing authority and/or one of its major preceptors.

The Cost of Collection is deducted from the calculation of the authority’s non-domestic rating income and instead of being shared between the parties to the rates retention scheme, is retained in entirely by the billing authority.

The sums to be excluded are calculated provisionally at NNDR1 stage. Following the availability of outturn figures in NNDR3, the provisional and actual sums need to be reconciled and adjusting payments made.

Similarly, on the basis of provisional calculations of reliefs for which the Government has committed to compensating authorities via s.31 grant, provisional calculations need to be reconciled with the actual amounts of relief given and adjusting payments made.

Relevant authorities also calculate an amount to be deducted from their central share in relation to designated area reliefs and the Port of Bristol. Amounts were deducted based on estimates from the NNDR1 and these need to be reconciled against the NNDR3 and adjusting payments made.

Lines 4 – 65 provide for these reconciliations and set out how, in accordance with the relevant regulations, the adjusting payments are to be treated.

Adjusting payments are to be regarded as provisional until the final “certified” NNDR3 has been submitted, for which the deadline this year is 30 September.

Cost of collection

Line 4:            Amount to be retained by billing authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 4 gives the total allowance for the cost of collection, to be retained by the billing authority in respect of 2023-24.

It is automatically picked-up from Part 1 of the form (see Part 1, line 6) [Allowance for cost of collection].

Line 5:            Amount previously retained (based on NNDR1)
Pre-filled Cell. Authorities are not required to enter data.

Line 5 gives the total allowance for the cost of collection, as calculated in the NNDR1 for 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 6:            Sum due to / from billing authority
Information Cell. Authorities are not required to enter data.

Line 6 sets out the sum due to, or from, the billing authority as a result of the reconciliation of lines 4 and 5. It is automatically calculated as line 4, minus line 5.

If line 6 is a positive number, the authority should, as it has already transferred an amount from its Collection Fund to its General Fund reflecting the NNDR1 calculation, make a further transfer of the amount in line 6.

If line 6 is a negative number, the authority should, as it has already transferred an amount from its Collection Fund to its General Fund reflecting the NNDR1 calculation, make an adjusting transfer from its General Fund into its Collection Fund of the amount in line 6.

The total charge to the 2023-24 Collection Fund in respect of this element, after any adjustment made in respect of line 6, for should equal the amount at line 4 column 2.

Designated Areas

Line 7:            Amount to be retained by billing authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 7 gives the total amount of rates to be retained by the billing authority (and the major precepting authority, for the South Tees Development Corporation designated area) in respect of growth in its Designated Areas in 2023-24.

It is automatically picked-up from Part 1 of the form (see Part 1, line 8) [Amounts retained in respect of Designated Areas] and, where relevant, is apportioned across relevant columns in part 4.

Line 8:            Amount previously retained (based on NNDR1)
Pre-filled Cell. Authorities are not required to enter data.

Line 8 gives the total amount of rates income to be retained by the billing authority (and the major precepting authority, for the South Tees Development Corporation designated area) in respect of growth in its Designated Areas in 2023-24, as calculated in the NNDR1 for 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 9:            Sum due to/ from billing authority
Information Cell. Authorities are not required to enter data.

Line 9 sets out the sum due to, or from, the billing authority (and the major precepting authority, for the South Tees Development Corporation designated area) as a result of the reconciliation of lines 7 and 8.

Line 9 is automatically calculated, and the same transfer arrangements apply as those in line 6 [Cost of Collection]. 

Renewable Energy Schemes

Line 10:          Amount to be retained by billing authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 10 gives the total amount of rates income to be retained by authorities in respect of qualifying renewable energy projects in 2023-24.

The numbers in columns 2 and 3 are automatically picked-up from Part 1 of the form (see Part 1, lines 9a and 9b). [Renewable Energy]

Line 11:          Amount previously retained (based on NNDR1)
Pre-Filled Cell. Authorities are not required to enter data.

Line 11 gives the amount of rates income in respect of qualifying renewable energy projects retained by authorities on the basis of completed NNDR1s for 2023-24.

Columns 2 and 3 are pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 12:          Sum due to/ from authority
Information Cell. Authorities are not required to enter data.

Line 12 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 10 and 11.

It is automatically calculated. The calculation is line 10, minus line 11.

If line 12, column 2, is a positive number, the billing authority should, assuming it has already transferred an amount from its Collection Fund to its General Fund reflecting the NNDR1 calculation, make a further transfer of the amount in line 12. If column 3 is a positive number, the billing authority should make a further payment, from the Collection Fund, to its County Council.

If line 12, column 2, is a negative number, the billing authority should, assuming it has already transferred an amount from its Collection Fund to its General Fund reflecting the NNDR1 calculation, make an adjusting transfer from its General Fund into its Collection Fund of the amount in line 12. If column 3 is a negative number, the County Council should make a payment to the billing authority. This should be credited to the Collection Fund.

Shale Oil and Gas scheme sites

Line 13:          Amount to be retained by authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 13 gives the total amount of rates income to be retained by authorities in respect of Shale Oil and Gas Sites in 2023-24.

The numbers in columns 2, 3 and 4 are automatically picked-up from Part 1 Line 10 of the form and multiplied by the relevant tier splits to calculate the figures due to each authority in columns 2, 3 and 4.

Line 14:          Amount previously retained (based on NNDR1)
Pre-Filled Cell. Authorities are not required to enter data.

Line 14 gives the amount of rates income in respect of Shale Oil and Gas Sites retained by authorities on the basis of completed NNDR1s for 2023-24.

Columns 2, 3 and 4 are pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 15:          Sum due to (+) / from (-) authority
Information Cell. Authorities are not required to enter data.

Line 15 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 13 and 14.

It is automatically calculated. The calculation is line 13, minus line 14.

If line 15, column 2, is a positive number, the billing authority should, assuming it has already transferred an amount from its Collection Fund to its General Fund reflecting the NNDR1 calculation, make a further transfer of the amount in line 15. If column 3 is a positive number, the billing authority should make a further payment, from the Collection Fund, to its County Council. If column 4 is a positive number, the billing authority should make a further payment, from the Collection Fund, to its Fire and Rescue Authority (if applicable).

If line 15, column 2, is a negative number, the billing authority should, assuming it has already transferred an amount from its Collection Fund to its General Fund reflecting the NNDR1 calculation, make an adjusting transfer from its General Fund into its Collection Fund of the amount in line 15. If column 3 is a negative number, the County Council should make a payment to the billing authority. This should be credited to the Collection Fund. If column 4 is a negative number, the Fire and Rescue Authority should make a payment to the billing authority. This should be credited to the Collection Fund.

Note S: Qualifying Relief in Designated Areas

Depending on the terms of their agreement with central government, authorities can be reimbursed for the relief they give ratepayers in Designated Areas under s.47 of the Local Government Finance Act 1988.

Where authorities are to be reimbursed, the government arranges for this by allowing, for those authorities that are not 100% Business Rates Retention authorities, the qualifying relief to be deducted from the central share of the authority’s non-domestic rating income that is due to central government.

The amount to be deducted is calculated before the beginning of the year, on the basis of the NNDR1. The central share paid by the authority to central government during the course of 2023-24 included any such deduction, if applicable.

Authorities with “Case A” and “Case B” hereditaments

The sum deducted from the central share for non-100% rates retention authorities in respect of qualifying relief is shared between billing and major precepting authorities in accordance with Regulations 4 and 6 and Schedule 3 of the Non-Domestic Rating (Rates Retention) Regulations 2013 (SI 2013/452) (as amended).

Effectively, the regulations provide that 100% of any relief given is qualifying relief for the purpose of “Case A” hereditaments and is to be retained by the billing authority and transferred to its General Fund. The qualifying relief given to Case B hereditaments is shared between the billing authority and its major precepting authorities and is effectively each authority’s “percentage share” of the relief given. The qualifying relief for both Case A and Case B is multiplied by the adjustment factor for the year, but this amount is not deductible from the central share and is therefore incorporated within the multiplier cap in line 54 (for non-100% authorities) or included within the s.31 compensation for 100% authorities in line 57.

The relevant local authority percentage shares are:

i. 50% to a Unitary Council that is also a Fire and Rescue Authority, and the Isles of Scilly;

ii. 49% to a Unitary Council that is not a Fire and Rescue Authority;

iii. 40% to a billing authority other than a London Borough or the Common Council of the City of London;

iv. 30% to a billing authority which is a London Borough or the Common Council of the City of London;

v. 37% to the Greater London Authority;

vi. 10% to a two-tier County Council which is a Fire and Rescue Authority;

vii. 9% to a two-tier County Council which is not a Fire and Rescue Authority; or

viii. 1% to a stand-alone Fire and Rescue Authority, or Police and Crime Commissioner Fire and Rescue Authority.

For 100% Business Rates Retention authorities in 2023-24, the relevant percentage shares are:

i. 100% for Cornwall;

ii. 99% for authorities in Greater Manchester, Liverpool and the West Midlands;

iii. 95% for authorities in the West of England; and

iv. 5% for the West of England Combined Authority.

Lines 16 – 18 provide for the reconciliation of these amounts in 50% Business Rates Retention authorities. Lines 57 – 59 provide for the reconciliation of these amounts in 100% Business Rates Retention authorities.

Designated Freeports

Designated Freeports are compensated via a Section 31 grant in respect of qualifying relief and this is shown in line 64 below. For more information on the Freeports see Note E.

Qualifying relief in Designated Areas (excl. Freeports) in non-100% business rates retention areas

Line 16:          Amount deducted from central share and retained by authorities
Information Cell. Authorities are not required to enter data.

Line 16, column 1 gives the total amount of qualifying relief to be deducted from the central share in respect of 2023-24, from the entry in Part 2, line 20, Column 3 [Designated Area qualifying relief (Deduction from Central Share)].

In columns 2, 3 and 4, the total qualifying relief is apportioned between the billing authority and (as appropriate) its major precepting authorities in accordance with the Regulations.

The calculation is:

For the billing authority (Column 2):

(100% of Part 3, Line 41, Column 2, multiplied by -1), plus (Part 3, Line 42, Column 1 multiplied by -1, multiplied by the relevant percentage share shown in Note R above).

For major precepting authorities:

Part 3, line 42, Column 1, multiplied by -1, multiplied by the relevant percentage share shown in Note R above.

The amounts at columns 2, 3 and 4, represent the sums due to authorities in respect of 2023-24.

Line 17:          Amount deducted/retained (based on NNDR1)
Pre-Filled Cell. Authorities are not required to enter data.

Based on the NNDR1 for 2023-24, line 17 gives the total amount of qualifying relief deducted from the central share in 2023-24, and retained by the billing authority, or paid to major precepting authorities.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 18:          Sum due to (+) / from (-) authority
Information Cell. Authorities are not required to enter data.

Line 18 sets out the sums due to, or from, the billing authority and its major precepting authorities as a result of the reconciliation of lines 16 and 17. They are automatically calculated. The calculation is line 16, minus line 17.

The sums due to/from or authorities are as follows:

If column 1 is a positive number, DLUHC will make a payment to the billing authority of the amount in line 18, column 1, which the authority should credit to its Collection Fund. If column 1 is a negative number, the authority should make a payment to DLUHC from its Collection Fund, of the amount in line 18, column 1.

If column 2 is a positive number, the billing authority should transfer that amount from its Collection Fund to its General Fund. If column 2 is a negative number, the billing authority should transfer that amount from its General Fund to its Collection Fund.

If column 3 is a positive number, the billing authority should make a payment, from its Collection Fund to its County Council of that amount. If column 3 is a negative number, the County Council should make a payment to the Billing Authority of that amount. The billing authority should credit the full amount to its Collection Fund.

If column 4 is a positive number, the billing authority should make a payment, from its Collection Fund to its stand-alone Fire and Rescue Authority of that amount. If column 4 is a negative number, the Fire and Rescue Authority should make a payment to the Billing Authority of that amount. The billing authority should credit the full amount to its Collection Fund.

Port of Bristol (North Somerset only)

Line 19:          Amount deducted from central share and retained by North Somerset
Information Cell.  Authorities are not required to enter data.

Lines 19 – 21 only apply to the amount to be deducted from the central share in relation to the Port of Bristol, applicable to North Somerset in 2023-24. It is automatically brought forward from Part 2, line 21, column 3, which is calculated in accordance with Schedule 2B to the Non-Domestic Rating (Rates Retention) Regulations 2013 (as amended).

Line 21, column 1 gives the total amount to be deducted from the central share in respect of 2023-24.

Line 20:          Amount deducted/retained (based on NNDR1)
Pre-Filled Cell.  Authorities are not required to enter data.

Based on the NNDR1 for 2023-24, line 20 gives the total amount deducted from the billing authority’s central share in relation to the Port of Bristol in 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 21:          Sum due to (+) / from (-) authority
Information Cell.  Authorities are not required to enter data.

Line 21 sets out the sum due to, or from, North Somerset as a result of the reconciliation of lines 19 and 20.

It is automatically calculated. The calculation is line 19, minus line 20. The sums due to/from to the billing authority are as per the arrangements in line 18.

Note T: Section 31 Grants: Compensation in Designated Areas

In advance of the NNDR1 2021-22, DLUHC announced that it would be altering the methodology for which s.31 grant compensation is calculated for s.47 reliefs announced and funded by central Government, within Designated Areas. This does not apply to 100% relief given for a period of five years in Enterprise Zones or equivalent, e.g. Freeports [see Note S].

Previously, DLUHC funded billing authorities for 100% of the relief given in designated areas, regardless of whether the authority retained any growth above the agreed baseline for the designated area(s). This led to billing authorities being over-compensated for the relief given.

In response, DLUHC has adjusted the calculation of s.31 grant for s.47 reliefs in designated areas since then, including in the NNDR1 2023-24.  100% of the relief is now only kept by the billing authority if the total disregarded amounts in aggregate, as given by the DA summary of the relevant NNDR form, exceeds zero. If the growth in aggregate does not exceed zero, only the total local share is kept by the BA.

Part 4 lines 22a to 53, and 60 and 61, where the values are picked up from Part 3 column 2, are adjusted so that any growth in the DA is taken into account in determining the amount of S.31 grant. The adjustment is made by multiplying Column 2 of the relevant row from Part 3 by a percentage value referenced below as “BA DA %” for each relief in lines 22a to 53 and 60 and 61. BA DA % is:

• 100% where the disregarded amounts aggregate given in Column 6 of Part 2DA Summary > 0, (ie ‘BA DA %’ = 1) otherwise
• the total % local share in the BA area (in most cases, 50%).

This adjustment only applies to the calculation of the billing authority’s share of the s.31 compensation.

Section 31 Grants

Small Business Rates Relief scheme

Line 22a:        Amount due to authority in 2023-24 for SBRR doubling and changes in thresholds
Information Cell. Authorities are not required to enter data.

Line 22a gives the total amount of s. 31 grant due to authorities in respect of the doubling and the changes to thresholds of small business rate relief for 2023-24.

The figures in columns 2 – 4 are automatically calculated from lines 7 [Amount of relief in respect of 2023-24 liability] to 11a [adjustments to relief on existing properties where a 2nd property is occupied in respect of 2017-18 to 2022-23] in Part 3 of the form (See Note S). The calculation is:

For the billing authority, column 2, the inverse sign of (Part 3):

((((Column 1, line 7 minus column 1, line 7a) x “LA % Share” [see Note S]) + ((Column 2, line 7 minus column 2 line 7a) x BA DA % [see Note T])) x “LA % factor” [see footnote below^{[footnote 3]} x (1 + adj_factor))  

plus

((((Column 1, line 10 minus column 1, line 10a) x LA % share) + ((column 2, line 10 minus column 2, line 10a) x BA DA %)) x 0.5 x (1 + adj_factor))

plus

((((Column 1, line 11 minus column 1, line 11a) x LA % share) + ((column 2, line 11 minus column 2, line 11a) x BA DA %)) x LA % factor x (1 + adj_factor))

(adj_factor = 85/499)

For major precepting authorities (columns 3 and 4), the inverse sign of (Part 3):

((Column 1, line 7 minus column 1, line 7a) x “LA % Share” [See Note S] x “LA % factor”3 x (1 + adj_factor))  

plus

((Column 1, line 10 minus column 1, line 10a) x LA % share x 0.5 x (1 + adj_factor))

plus

((Column 1, line 11 minus column 1, line 11a) x LA % share x LA % factor x (1 + adj_factor))

Line 22b:        Amount due to authority in 2023-24 for loss of supplementary multiplier income
Information Cell. Authorities are not required to enter data.

Line 22b gives the amount of s. 31 grant due in 2023-24 as a result of the loss of supplementary multiplier income.

The government agreed to pay local authorities a fixed sum in respect of the income lost each year as a result of increasing the threshold at which the supplementary multiplier applies. The figures in columns 2 – 4 are automatically calculated from values given in the Regulations.^{[footnote 4]}

The amount calculated for the billing authority (column 2) is:

((“RV BA” x 0.013 x “LA % share” [see Note S]) + (“RV DA” x 0.013))

For a major precepting authority (columns 3 and 4) the calculation is:

(“RV BA” x 0.013 x “LA % share”)

Line 23:          Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 23 gives the total amount of s.31 grant paid to authorities during 2023-24, in accordance with the NNDR1 for 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 24:          Sum due to (+) / from (-) authority
Information Cell. Authorities are not required to enter data.

Line 24 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 22a, 22b and 23.

It is automatically calculated. The calculation is line 22a, plus line 22b, minus line 23.

If line 24 is a positive number, DLUHC will make a further s.31 grant payment to authorities of the amount in line 24. If line 24 is negative, DLUHC will recover the amount in line 24 from authorities. Any amounts received or recovered should be charged to an authority’s General Fund.

NB The actual amount paid or recovered from major precepting authorities will be the sum of the “line 24 amounts column 3 or 4” of all its billing authorities.

Small Business Rates Relief on existing property where 2nd property is occupied

Line 25:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 25 gives the total amount of s. 31 grant due to authorities in respect of small business rate relief given to ratepayers in 2023-24, notwithstanding that a second property was occupied.

The figures in columns 2 – 4 are automatically calculated from Part 3 of the form. The calculation is:

For the billing authority (column 2), the calculation is the inverse sign of (Part 3):

((Column 1, line 7a x (1+ adj_factor)) x “LA % share” [see Note S])

plus

(Column 2, line 7a x (1 + adj_factor) x “BA DA %” [see Note T)

                                    plus

(((Column 1, line 10a + column 1, line 11a) x (1 + adj_factor)) x “LA % share”)

plus

((Column 2, line 10a + column 2, line 11a) x (1 + adj_factor) x “BA DA %”)

For major precepting authorities (columns 3 and 4), the inverse sign of (Part 3):

((Column 1, line 7a x (1 + adj_factor)) x “LA % share”)

                                    plus

(((Column 1, line 10a + column 1, line 11a) x (1 + adj_factor)) x LA % share)

Line 26:          Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 26 gives the total amount of s.31 grant paid to authorities during 2023-24 in respect of small business rates relief where a second property is occupied, in accordance with the NNDR1 for 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 27:          Sum due to (+) / from (-) authority
Information Cell. Authorities are not required to enter data.

Line 27 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 25 and 26.

It is automatically calculated. The calculation is line 25, minus line 26.

If line 27 is a positive number, DLUHC will make a further s.31 grant payment to authorities of the amount in line 27. If line 27 is negative, DLUHC will recover the amount in line 27 from authorities. Any amounts received or recovered should be charged to an authority’s General Fund.

NB The actual amount paid or recovered from major precepting authorities will be the sum of the “line 27 amounts, column 3 or 4” of all its billing authorities.

Public lavatories relief

Line 28:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 28 gives the total amount of s. 31 grant due to/from authorities in respect of Public Lavatories relief given to ratepayers in the current year or in previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3 of the form. The calculation is:

For the billing authority, the inverse sign of (Part 3):

(Column 1, line 21 x (1 + adj_factor)) x “LA % share” [see Note R)

plus

(Column 2, line 21) x (1 + adj_factor) x “BA DA %” [see Note T])

plus

(Column 1, line 22 x (1 + adj_factor)) x “LA % share”

plus

(Column 2, line 22) x (1 + adj_factor) x “BA DA %”)

For major precepting authorities, the inverse sign of (Part 3):

(Column 1, line 21 x (1 + adj_factor)) x “LA % share”)

plus

(Column 1, line 22 x (1 + adj_factor)) x “LA % share”)

Line 29:          Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 29 gives the total amount of s.31 grant paid to authorities during 2023-24 in respect of public lavatories, in accordance with the NNDR1 for 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 30:          Sum due to / from authority
Information Cell. Authorities are not required to enter data.

Line 30 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 28 and 29.

It is automatically calculated. The calculation is line 28, minus line 29.

If line 30 is a positive number, DLUHC will make a further s.31 grant payment to authorities of the amount in line 30. If line 30 is negative, DLUHC will recover the amount in line 30 from authorities. Any amounts received or recovered should be charged to an authority’s General Fund.

NB The actual amount paid or recovered from major precepting authorities will be the sum of the “line 30 amounts, column 3 or 4” of all its billing authorities.

“New Empty” properties

Line 31:          Amount due to/ from authority in 2023-24 (in respect of previous years)
Information Cell. Authorities are not required to enter data.

Line 31 gives the total amount of s. 31 grant due to/from authorities in respect of adjustments to relief in 2023-24, for “new empty” properties in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, line 45 [“New Empty” properties] of the form. The calculation is:

For the billing authority, the inverse sign of (Part 3):

(Column 1, line 45 x (1 + adj_factor)) x “LA % share” [see Note S]

plus

(Column 2, line 45 x (1 + adj_factor) x “BA DA %” [see Note T])

For major precepting authorities, the inverse sign of (Part 3):

(Column 1, line 45 x (1 + adj_factor)) x “LA % share”

Line 31 gives the total amount of s.31 grant to be paid/receivable to/from authorities during 2023-24.

If line 31 is a positive number, DLUHC will make a s.31 grant payment to authorities of the amount in line 31. If line 31 is negative, DLUHC will recover the amount in line 31 from authorities. Any amounts received or recovered should be charged to an authority’s General Fund.

NB The actual amount paid or recovered from major precepting authorities will be the sum of the “line 31 amounts, column 3 or 4” of all its billing authorities.

“Long term empty” properties

Line 32:          Amount due to (+) / from (-) authority in 2023-24 (in respect of previous years)
Information Cell. Authorities are not required to enter data.

Line 32 gives the total amount of s.31 grant due to/from authorities in 2023-24 for adjustment to “Long Term Empty Property Relief” in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, line 46 [“Long-term empty” properties] of the form. The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 31 [“New Empty” properties, Amount due to/ from authority in 2023-24 (in respect of previous years)] above.

Retail Relief

Line 33:          Amount due to (+) / from (-) authority in 2023-24 (in respect of previous years)
Information Cell. Authorities are not required to enter data.

Line 33 gives the total amount of s. 31 grant due to/from authorities in 2023-24 for adjustment to “Retail Relief” in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, line 47 [Retail Relief] of the form. The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 31 [“New Empty” properties, Amount due to/ from authority in 2023-24 (in respect of previous years)] above.

Flooding Relief

Line 34:          Amount due to authority in 2023-24
Information Cell.  Authorities are not required to enter data.

Line 34 gives the total amount of s. 31 grant due to/from authorities in respect of flooding relief given to ratepayers in the current year or adjustments to flooding relief in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, lines 48 and 49 of the form. The calculation is analogous to that as set out in Part 4, Line 28 [Public lavatories relief, Amount due to authority in 2023-24], above.

Line 35:          Amount provisionally paid (based on grant determination)
Information Cell. Authorities are not required to enter data.

Line 35 gives the total amount of s.31 grant paid to authorities during 2023-24, in accordance with the NNDR1 for 2023-24. No s.31 grant was paid to authorities in respect of flooding relief in advance of the end of year process, hence the values here are zero.

Line 36:          Sum due to/ from authority
Information Cell. Authorities are not required to enter data.

Line 36 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 34 and 35.

The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 30 [Public lavatories relief, Sum due to / from authority above].

In lieu of Transitional Relief

Line 37:          Amount due to billing authority in 2023-24 (in respect of previous years)
Information Cell. Authorities are not required to enter data.

Line 37 gives the total amount of s. 31 grant due to authorities in respect of adjustments to in lieu of transitional relief in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, line 50 of the form. The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 31 [“New Empty” properties, Amount due to/ from authority in 2023-24 (in respect of previous years)] above.

Rural rate relief

Line 38:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 38 gives the total amount of s. 31 grant due to authorities in respect of payments made for Rural Rate Relief in 2023-24.

The figures in columns 2 – 4 are automatically calculated from Part 3, lines 51 and 52 of the form. The calculation is analogous to that as set out in Part 4, Line 28 [Public lavatories relief, Amount due to authority in 2023-24], above.

Line 39:          Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 39 gives the total amount of s.31 grant paid to authorities for payments made for Rural Rate relief during 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 40:          Sum due to/ from authority
Information Cell. Authorities are not required to enter data.

Line 40 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 38 and 39.

The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 30 [Public lavatories relief, Sum due to / from authority above] above.

Local newspaper relief

Line 41:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 41 gives the total amount of section 31 grant due to authorities in respect of payments made for Local Newspaper relief.

The figures in columns 2 – 4 are automatically calculated from Part 3, lines 53 and 54 of the form. The calculation is analogous to that as set out in Part 4, Line 28 [Public lavatories relief, Amount due to authority in 2023-24], above.

Line 42:          Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 42 gives the total amount of s.31 grant paid to authorities during 2023-24 in respect of local newspaper relief.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 43:          Sum due to / from authority
Information Cell. Authorities are not required to enter data.

Line 43 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 41 and 42.

The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 30 [Public lavatories relief, Sum due to / from authority] above.

Supporting Small Businesses Relief and Transitional Relief in lieu

Line 44:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 44 gives the total amount of s. 31 grant due to authorities in respect of payments made in providing Supporting Small Business relief in 2023-24, Supporting Small Business and in lieu transitional relief in respect of 2022-23 and in respect of supporting small business relief in years prior to 22-23.

The figures in columns 2 – 4 are automatically calculated from Part 3, lines 55 and 56 of the form. The calculation is analogous to that as set out in Part 4, Line 28 [Public lavatories relief, Amount due to authority in 2023-24], above.

Line 45:          Amount provisionally paid in respect of 2023-24 (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 45 gives the total amount of s.31 grant paid to authorities during 2023-24 in respect of supporting small businesses relief, in accordance with the NNDR1 for 2023-24.

It is pre-filled by the DLUHC from the NNDR1 submitted in January 2023.

Line 46:          Sum due to (+) / from (-) authority
Information Cell. Authorities are not required to enter data.

Line 46 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 44 and 45.

The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 30 [Public lavatories relief, Sum due to / from authority above] above.

Discretionary scheme relief

Line 47:          Amount due to / from authority in 2023-24 (in respect of previous years)
Information Cell. Authorities are not required to enter data.

Line 47 gives the total amount of s. 31 grant due to authorities in respect of adjustments to the Discretionary Scheme relief in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, line 57 of the form. The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 31 [“New Empty” properties, Amount due to/ from authority in 2023-24 (in respect of previous years)] above.

Pub Relief (where RV is less than £100,000)

Line 48:          Amount due to / from authority in 2023-24  (in respect of previous years)
Information Cell. Authorities are not required to enter data.

Line 48 gives the total amount of s. 31 grant due to authorities in respect of adjustments to Pub relief in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, line 58 of the form. The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 31 [“New Empty” properties, Amount due to/ from authority in 2023-24 (in respect of previous years)] above.

Telecomms relief   

Line 49:          Amount due to / from authority in 2023-24 (in respect of previous years)
Information Cell. Authorities are not required to enter data.

Line 49 gives the total amount of s. 31 grant due to authorities in respect of Telecoms Relief granted in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, line 20 of the form. The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 31 [“New Empty” properties, Amount due to/ from authority in 2023-24 (in respect of previous years)] above.

Retail, Hospitality and Leisure Relief

Line 50:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 50 gives the total amount of s. 31 grant due to authorities in 2023-24 in respect of Retail, Hospitality and Leisure Relief granted during 2023-24.

The figures in columns 2 – 4 are automatically calculated from Part 3, lines 59 and 60 of the form. The calculation is analogous to that as set out in Part 4, Line 28 [Public lavatories relief, Amount due to authority in 2023-24], above.

Line 51:          Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 51 gives the total amount of s.31 grant paid to authorities during 2023-24 in respect of Retail, Hospitality and Leisure Relief, in accordance with the NNDR1 for 2023-24.

It is pre-filled by the DLUHC from the NNDR1 submitted in January 2023.

Line 52:          Sum due to (+) / from (-) billing authority
Information Cell. Authorities are not required to enter data.

Line 52 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 50 and 51.

The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 30 [Public lavatories relief, Sum due to / from authority above] above.

Nursery Relief

Line 53:          Amount due to / from authority in 2023-24 (in respect of prior years)
Information Cell. Authorities are not required to enter data.

Line 53 gives the total amount of s. 31 grant due to authorities in 2023-24 for the Nursery Discount granted in respect of previous years.

The figures in columns 2 – 4 are automatically calculated from Part 3, lines 61 of the form. The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 31 [“New Empty” properties, Amount due to/ from authority in 2023-24 (in respect of previous years)] above.

2023-24 Multiplier Cap

Line 54:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 54 gives the total amount of s. 31 grant due to authorities in respect of the multiplier cap for 2023-24.

The figures in columns 2 – 4 are automatically calculated from Part 1 and Part 4 of the form. The calculation is:

For 100% business rates retention billing authorities:

:

((Part 1, Line 11 x “LA % share” [see Note S]) + Part 1, Line 8 + Part 1, Line 9a + Part 4, Line 13, column 2) x adj_factor

For non-100% business rates retention billing authorities (excluding North Somerset):

((Part 1, Line 11 x “LA % share” [see Note S]) + Part 1, Line 8 + Part 1, Line 9a + Part 4, Line 13, column 2 + Part 3, Line 41, column 2 + (Part 3, Line 42 x “LA % share”)) x adj_factor

For North Somerset:

((Part 1, Line 11 x “LA % share”) + Part 1, Line 8 + Part 1, Line 9a + Part 4, Line 13, column 2 + Part 3, Line 41, column 2 + (Part 3, Line 42 x “LA % share”) + Part 4, Line 19, Col 2)) x adj_factor

For Redcar and Cleveland:

((Part 1, Line 11 x “LA % share” [see Note S]) + Part 1, Line 8 – Part 4, Line 7, Column 3+ Part 1, Line 9a + Part 4, Line 13, column 2 + Part 3, Line 41, column 2 + (Part 3, Line 42 x “LA % share”)) x adj_factor

For two-tier County Councils in 100% business rates retention areas:

((Part 1, Line 11 x “LA % share”) + Part 1, Line 9b + Part 4, Line 13, col 3) x adj_factor

For two-tier County Councils in non-100% business rates retention areas:

((Part 1, Line 11 x “LA % share”) + Part 1, Line 9b + Part 4, Line 13, col 3 + (Part 3, Line 42 x “LA % share”)) x adj_factor

For Tees Valley Combined Authority

Part 4, Line 7, col 3 x adj_factor

For stand-alone Fire and Rescue Authorities in 100% business rates retention areas:

((Part 1 Line 11 x “LA % share”) + Part 4, Line 13, col 4) x adj_factor

For stand-alone Fire and Rescue Authorities in non-100% business rates retention areas:

((Part 1 Line 11 x “LA % share”) + Part 4, Line 13, col 4 + (Part 3, Line 42 x “LA % share”)) x adj_factor

Line 55:          Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 55 gives the total amount of s.31 grant paid to authorities in respect of the multiplier cap during 2023-24, in accordance with the NNDR1 for 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 56:          Sum due to (+) / from (-) billing authority
Information Cell. Authorities are not required to enter data

Line 56 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 54 and 55.

The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 30 [Public lavatories relief, Sum due to / from authority above] above.

Designated areas relief granted in 100% business rates retention areas

Line 57:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 57 gives the total amount of s. 31 grant due to authorities in respect of designated area relief granted in 2023-24 by 100% Business Rates Retention authorities.

It is automatically calculated from the entries in Lines 41 and 42 in Part 3 of the form.

The calculation is:

For the billing authority:

((Part 3, Column 2, line 41 x (-1)) + ((Part 3, Column 1, line 42 x (-1)) x “LA % share” [see Note S]) x (1+adj_factor)

For major precepting authorities:

((Part 3, Column 1, line 42 x (- 1)) x “LA % share”) x  (1+adj_factor)

The amounts at columns 2, 3 and 4, represent the sums due to authorities in respect of 2023-24.

Line 58:          Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 58 gives the total amount of s.31 grant paid to 100% Business Rates Retention authorities in respect of relief granted in Designated Areas during 2023-24, in accordance with the NNDR1 for 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 59:          Sum due to (+) / from (-) billing authority
Information Cell. Authorities are not required to enter data.

Line 59 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 57 and 58.

The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 30 [Public lavatories relief, Sum due to / from authority above] above.

COVID-19 Additional Relief Fund

Line 60:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 60 gives the total amount of s. 31 grant due to/from authorities in respect of adjustments to relief, for Coronavirus Additional Relief Fund (CARF) in respect of 2021-22.

The figures in columns 2 – 4 are automatically calculated from Part 3, line 62 of the form.

The value of any payment to or from local authorities will be made in respect of balances below each local authority’s allocation for 2021-22. The calculation of the balance local authorities have already received is based on the 2022-23 NNDR forms published at 31 March 2024. Where changes are made subsequently to CARF entries in the 2022-23 NNDR3 form, the amount due to or from an authority will be recalculated outside of the 2023-24 form and the adjustment made. We recommend local authorities keep a local record of the amount of CARF they have received to confirm any recalculation made.

Low carbon heat networks relief

Line 61:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data

Line 63 gives the total amount of s. 31 grant due to authorities in 2023-24 for the Low carbon heat networks relief granted during 2023-24.

The figures in columns 2 - 4 are automatically calculated from Part 3, lines 63 and 64 of the form. The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 28 [Public lavatories relief, Amount due to authority in 2023-24] above.

Line 62           Amount provisionally paid (based on NNDR1 2023-24)
Information Cell. Authorities are not required to enter data.

Line 62 gives the total amount of s.31 grant paid to authorities in respect of the Low Carbon Heat Networks during 2023-24, in accordance with the NNDR1 for 2023-24.

It is pre-filled by DLUHC from the NNDR1 submitted in January 2023.

Line 63:          Sum due to / from billing authority
Information Cell. Authorities are not required to enter data.

Line 63 sets out the sum due to, or from, authorities as a result of the reconciliation of lines 61 and 62.

The calculation and arrangements for reconciliation are analogous to that as set out in Part 4, Line 30 [Public lavatories relief, Sum due to / from authority above] above.

Freeports Relief

Line 64:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 64 gives the total amount of s. 31 grant due to authorities with active Freeport Tax sites (see Note F) in respect of Freeports Relief granted in 2023-24.

The figure in line 64 column 2 is automatically calculated as the amount in Part 3, line 43 x (1+ adj_factor).

If line 64 is a positive number, DLUHC will make a s.31 grant payment to authorities of the amount in line 64. Any amounts received should be credited to an authority’s General Fund.

Freeports additional growth

Line 65:          Amount due to authority in 2023-24
Information Cell. Authorities are not required to enter data.

Line 65 gives the total amount of s. 31 grant due to authorities with Freeport Tax sites (see Note F) that were not designated (Thames and Humber Freeport areas) in 2023-24 in respect of Freeports additional growth in 2023-24.

The figure in line 65 column 2 is automatically calculated such that if:

Part 2, line 23 minus part 2 line 24 minus part 2, line 25 plus part 2 line 26 minus part 2, line 27

Is above zero, the figure is 100% of that amount x (1+ adj_factor) x (1 – BA share)

Is at or below zero, the figure is zero.

Line 65 gives the total amount of s.31 grant to be paid to authorities in respect of growth in Freeports (if any) in 2023-24.

If the amount calculated is positive, DLUHC will make a s.31 grant payment to authorities of that amount. Any amount received should be credited to an authority’s General Fund.

Section 31 Grant Total

Line 66:          Total Amount due to authority in 2023-24
Information Cell.  Authorities are not required to enter data.

Line 66 totals the amount of s.31 grants payable to local authorities in

2023-24, based on the entries in this form. It is calculated as the sum of lines 22a, 22b, 25, 28, 31, 32, 33, 34, 37, 38, 41, 44, 47, 48, 49, 50, 53, 54, 57, 60, 61, 64 and 65.

Line 67:          Sum due to (+) / from (-) authority
Information Cell.  Authorities are not required to enter data.

Line 67 sets out the amount of s.31 grant payable to, or recoverable from, authorities in respect of reconciliation with amounts that have been paid on account during the 2023-24 financial year. It is calculated as the sum of lines 24, 27, 30, 31, 32, 33, 36, 37, 40, 43, 46, 47, 48, 49, 52, 53, 56, 59, 60, 63, 64 and 65.

Part 5: Accounting summary

In accordance with CIPFA’s Accounting Code of Practice on Local Authority Accounting in the United Kingdom 2023-24, authorities will need to recognise their share of non-domestic rating income and other elements of the rates retention scheme in their Statement of Accounts. The information that authorities will need for their accounts can be found, or calculated, from the entries in Parts 1 – 4 of the NNDR3.

For convenience, Part 5 provides a summary of the main figures that the billing authority and major precepting authorities will need in preparing their financial statements.

This part of the NNDR3 2023-24 form is pre-filled with data taken from other parts of the form. Local authorities should not need to enter any data in this part of the form.

If authorities disagree with the collection fund opening balance, before altering this part of the form, they should get in contact with the department to discuss. They should contact: NNDR.statistics@levellingup.gov.uk.

Non-Domestic Rating Income for 2023-24

Line 1:            Non-domestic rating income from rates retention scheme
Information Cell. Authorities are not required to enter data.

Line 1 gives the final outturn amount of non-domestic rating income for 2023-24.

The figure at column 5 is derived from Part 1 of the form (see Part 1, line 11).

At columns 1 – 4, the figure is broken down according to the shares due to central government, the billing authority and its major precepting authorities as set out in Note S and, for convenience, above line 1.  Authorities will need to recognise these sums in their Comprehensive Income and Expenditure Statements.

Line 2:            Deductions from central share
Information Cell. Authorities are not required to enter data.

Line 2 gives the total deduction from the central share for qualifying relief in Designated Areas and the Port of Bristol.

It is taken directly from Part 2 line 22 [Deductions from Central Share], which calculates the total deduction to the central share from entries elsewhere in the form. The amount deducted from the central share is retained by authorities – see lines 8 and 9 below.

Line 3:            Total Non-Domestic Rating Income for 2023-24
Information Cell. Authorities are not required to enter data.

Line 3 gives the final outturn amount of non-domestic rating income due to central government by way of the central share.

It is calculated from lines 1 and 2. The calculation is line 1 minus line 2.

Other Income for 2023-24

Line 4:            Cost of collection allowance
Information Cell. Authorities are not required to enter data.

Line 4 gives the cost of collection allowance to be retained by billing authorities in respect of 2023-24.

The figure at column 5 is derived from the entry in Part 1, line 6. 100% of the amount is apportioned to the billing authority at column 2. It is a contribution towards expenditure incurred on the collection of non-domestic rates that will need to be recorded in the billing authority’s Comprehensive Income and Expenditure Statement against the relevant service line.

Line 5:            Amounts retained in respect of Designated Areas
Information Cell. Authorities are not required to enter data.

Line 5 gives the final outturn amounts to be retained by the billing authority in respect of growth in Designated Areas.

The figure at column 5 is derived from the entry in Part 1, line 8. 100% of the amount is apportioned to the billing authority at column 2 and will need to be recognised as income in the Taxation and Non-Specific Income and Expenditure section of the billing authority’s Comprehensive Income and Expenditure Statement.

For the South Tees Development Corporation the final outturn amounts are split equally between Redcar and Cleveland Brough Council and Tees Valley Combined Authority. Redcar and Cleveland’s share is included in Column 2 and the Tees Valley Combined Authority share is in column 3.

Line 6:            Amounts retained in respect of renewable energy schemes
Information Cell. Authorities are not required to enter data.

Line 6 gives the final outturn amounts to be retained by the billing authority and its County Council in respect of designated renewable energy projects.

The figure at column 5 is derived from the entry in Part 1, line 9. This amount is apportioned between the billing authority and its County Council at columns 2 and 3. The apportionment is based on the entries at lines 9a and 9b of Part 1 of the form. Each billing authority and its County Council will need to recognise these amounts as income in the Taxation and Non-Specific Grant Income and Expenditure line in their Comprehensive Income and Expenditure Statements.

Line 7:            Amounts retained in respect of shale oil and gas scheme sites
Information Cell. Authorities are not required to enter data.

Line 7 shows the apportionment of the income from qualifying shale oil and gas sites.

The figures are taken from the entries in Part 4 of the form (see Part 4, Line 13) which each of the billing authority, its County Council and stand-alone Fire and Rescue Authority will need to recognise as income in the Taxation and non-Specific Grant Income and Expenditure line in their Comprehensive Income and Expenditure Statements.

Line 8:            Qualifying relief in Designated Areas
Information Cell. Authorities are not required to enter data.

Line 8 shows the apportionment of the qualifying relief for designated areas (Enterprise Zones) netted off the central share in line 2.

The figures are taken from the entries in Part 4 of the form (see Part 4, line 16) which each of the billing authority, its County Council and stand-alone Fire and Rescue Authority will need to recognise these amounts as income in the Taxation and non-Specific Income and Expenditure line in their Comprehensive Income and Expenditure Statements.

Line 9:            Port of Bristol
Information Cell. Authorities are not required to enter data.

Line 9 shows the apportionment of the retained amount of income for North Somerset, in relation to the Port of Bristol Hereditament netted off the central share in line 2.

The figure is taken from the entry in Part 2, line 21 [Port of Bristol].

It will need to be recognised as income in the Taxation and Non-Specific Grant Income and Expenditure of North Somerset’s Comprehensive Income and Expenditure Statement.

Line 10:          Section 31 grants
Information Cell. Authorities are not required to enter data.

Line 10 shows the apportionment of the total amount of s.31 Grant payment to be paid to billing authorities and their Major Precepting Authorities.

The figures are taken from the entries in Part 4, line 66 [Section 31 Grants Total Amount due to Authorities 2023-24].

Each of the billing authority, its County Council and stand-alone Fire and Rescue Authority will need to recognise these amounts as income in the Taxation and non-Specific Grant Income and Expenditure line in their Comprehensive Income and Expenditure Statements.  The figure to be recognised in the Comprehensive Income and Expenditure Statement also needs to reflect the adjustment to s.31 grants made for the impact of under-indexation of the multiplier on tariffs and top-ups, including as necessary for the effect of the year 2 technical adjustment on this figure following the 2023 revaluation, which is not included in the form.

Balance Sheet

Sums receivable / payable (ratepayers)

Lines 11 and 12: Sums from or owed to Ratepayers
Information Cells. Authorities are not required to enter data.

Authorities will need to recognise in their balance sheets, their portion of debtors and over/pre-payments.

The figures at column 5 are derived from the data entries in Part 2, lines 28 and 29 [Debtors and Pre-payments]. The figures are apportioned between central government, the billing authority and its major preceptors according to the percentage shares in Note S and, for convenience, set out above line 1. Authorities will need to recognise their shares of debtors and over/pre-payments in their balance sheets.

The amounts recognised by a major precepting authority will be the sum of the “line 11 and line 12 amounts” of all its billing authorities.

Allowance for non-collection

Line 13:          Opening balance as at 1 April 2023
Information Cell. Authorities are not required to enter data.

The figure at column 5 shows the opening allowance for non-collection of non-domestic rates at 1 April 2023. The total in column 5 is taken from the closing balance from the authority’s 2022-23 NNDR3.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 14:          Amounts charged to allowances
Information Cell. Authorities are not required to enter data.

The figure at column 5 shows the amount charged to the allowance for non-collection of non-domestic rates during 2023-24. It is derived from the entry at Part 2, line 3.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 15:          Change in allowance (charged to Collection Fund)
Information Cell. Authorities are not required to enter data.

Line 15 shows the apportionment of the change in the allowance for the non-collection of non-domestic rates between central government, the billing authority and its major preceptors.

The figure at column 5 is derived from the entry in Part 2, line 5. This figure is apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 16:          Closing balance on 31 March 2024
Information Cell. Authorities are not required to enter data.

Line 16 shows the closing balance for the allowance for the non-collection of non-domestic rates, apportioned between central government, the billing authority and its major preceptors at columns 1 – 4.

It is automatically derived from lines 13, 14 and 15. The calculation for each column is line 13, plus line 14, plus line 15.

Authorities will need to recognise their share of the allowance for non-collection in their balance sheets.

The amounts recognised by a major precepting authority will be the sum of the “line 16 amounts” of all its billing authorities.

Appeal adjustment

Provision for alteration of lists and appeals

Line 17:          Opening balance as at 1 April 2023
Information Cell. Authorities are not required to enter data.

Lines 17 – 24c show LA provision for alterations to lists or appeals.

The figure at column 5 shows the opening balance for the provision for alteration of lists and appeals at 1 April 2023, taken from the closing balance on authorities’ 2022-23 NNDR3.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 17a:        In relation to 2010 List
Information Cell. Authorities are not required to enter data.

The figure at column 5 shows the amount of the opening balance due in respect of provisions made for alterations of the 2010 list taken from the closing balance on authorities’ 2022-23 NNDR3.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 17b:        In relation to 2017 List
Information Cell. Authorities are not required to enter data.

The figure at column 5 Line 17b shows the amount of the opening balance due in respect of provisions made for alterations of the 2017 list taken from the closing balance on authorities’ 2022-23 NNDR3.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 17c:        In relation to 2023 List
Information Cell. Authorities are not required to enter data.

The figure at column 5 Line 17c shows the amount of the opening balance due in respect of provisions made for alterations of the 2023 list taken from the closing balance on authorities’ 2022-23 NNDR3. In 2023-24 this balance will be zero.

Line 18:          Amounts charged to provision from 2010 List
Information Cell. Authorities are not required to enter data.

The figure at column 5 shows the amount charged to the provision for alteration of lists and appeals during 2023-24 in respect of the 2010 rating list. It is derived from the entry at Part 2, line 6.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 19:          Amounts charged to provision from 2017 List
Information Cell. Authorities are not required to enter data.

The figure at column 5 shows the amount charged to the provision for alteration of lists and appeals during 2023-24 in respect of the 2017 rating list. It is derived from the entry at Part 2, line 7.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 20:          Amounts charged to provision from 2023 List
Information Cell. Authorities are not required to enter data.

The figure at column 5 shows the amount charged to the provision for alteration of lists and appeals during 2023-24 in respect of the 2023 rating list. It is derived from the entry at Part 2, line 8. In 2023-24 this will be zero.

Line 21:          Change in provision: 2010 List (charged to Collection Fund)
Information Cell. Authorities are not required to enter data.

Line 21 shows the apportionment of the change in the provision for alteration of lists and appeals in respect of the 2010 rating list between central government, the billing authority and its major preceptors.

The figure at column 5 is derived from the data entries in Part 2, line 9 [changes in provision for alteration of lists and appeals: 2010 list]. This figure is apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 22:          Change in provision: 2017 List (charged to Collection Fund)
Information Cell. Authorities are not required to enter data.

Line 22 shows the apportionment of the change in the provision for alteration of lists and appeals in respect of the 2017 rating list between central government, the billing authority and its major preceptors.

The figure at column 5 is derived from the data entries in Part 2, line 10 [changes in provision for alteration of lists and appeals: 2017 list]. This figure is apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 23:          Change in provision: 2023 List (charged to Collection Fund)
Information Cell. Authorities are not required to enter data.

Line 23 shows the creation of the provision for alteration of lists and appeals in respect of the 2023 rating list between central government, the billing authority and its major preceptors.

The figure at column 5 is derived from the data entries in Part 2, line 11 [changes in provision for alteration of lists and appeals: 2023 list]. This figure is apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 24:          Closing balance on 31 March 2023
Information Cell. Authorities are not required to enter data.

Line 22 shows the closing balance for the provision for alteration of lists and appeals, apportioned between central government, the billing authority and its major preceptors at columns 1 – 4.

It is automatically derived from lines 17, 18, 19, 20, 21, 22 and 23. The calculation for each column is line 17, plus line 18, plus line 19, plus line 20, plus line 21, plus line 22, plus line 23.

Authorities will need to recognise their share of the provision for alteration of lists and appeals in their balance sheets.

The amounts recognised by a major precepting authority will be the sum of the relevant column of “line 24 amounts” of all its billing authorities.

Line 24a:        In relation to 2010 List
Information Cell. Authorities are not required to enter data.

Line 24a shows the apportionment of the closing balance of provision for alteration of lists and appeals in respect of the 2010 rating list between central government, the billing authority and its major preceptors.

It is automatically derived from lines 17a, 18, and 21. The calculation for each column is line 17a, plus line 18, plus line 21.

Authorities will need to recognise their share of the provision for alteration of lists and appeals in their balance sheets.

Line 24b:        In relation to 2017 List
Information Cell. Authorities are not required to enter data.

Line 24b shows the apportionment of the closing balance of provision for alteration of lists and appeals in respect of the 2017 rating list between central government, the billing authority and its major preceptors.

It is automatically derived from lines 17b, 19, and 22. The calculation for each column is line 17b, plus line 19, plus line 22.

Authorities will need to recognise their share of the provision for alteration of lists and appeals in their balance sheets.

Line 24c:        In relation to 2023 List
Information Cell. Authorities are not required to enter data.

Line 24c shows the apportionment of the closing balance of provision for alteration of lists and appeals in respect of the 2023 rating list between central government, the billing authority and its major preceptors.

It is automatically derived from lines 17c, 20, and 23. The calculation for each column is line 17c, plus line 20 plus line 23.

Authorities will need to recognise their share of the provision for alteration of lists and appeals in their balance sheets.

Collection Fund Statement

Line 25:          Opening balance on 1 April 2023
Information Cell.  Authorities are not required to enter data.

Line 25 shows the opening balance on the Collection Fund Statement at 1 April 2023 (i.e. the 2022-23 closing balance).  The figures at columns 1-5 are taken from Part 5, Line 30 of the 2022-23 NNDR3.  

**Line 26:          Agreed adjustments to Collection Fund
Data Cell.      Authorities may enter data.

Line 26 allows local authorities to enter data making an adjustment to their Collection Fund balance in respect of brought forward discrepancies, including those as a result of prior year NNDR3 forms submitted after the data in the 2023-24 NNDR3 was populated. If this cell is locked for your authority and you have agreed a change please contact the BRR Ops team BRRSA@levellingup.gov.uk

Line 27:          Estimated Surplus(+)/Deficit(-) Payable in 2023-24
Information Cell.  Authorities are not required to enter data.

Line 27 shows an authority’s estimate of the surplus/deficit on the Collection Fund made as part of the 2023-24 NNDR1 in January 2023.  (This represents authorities’ estimate of the 2022-23 “closing balance” i.e. an estimate of the amount shown in line 25). The estimated surplus/deficit was payable from the Collection Fund to authorities (or vice versa) over the course of 2023-24. The figure at column 5 is taken from Part 4 of the 2023-24 NNDR1.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares that applied for the relevant surplus or deficits for the in-year (2023-24) and prior year (2022-23) amounts making up the 2023-24 estimated surplus/deficit. 

Line 28:          Prior-year surplus(+)/deficit(-) included in closing balance
Information Cell.  Authorities are not required to enter data.

Line 28 shows the prior year surplus/deficit included in the 2023-24 “closing balance”. 

It is automatically derived from lines 25, 26 and 27.  The calculation for each column is line 25 plus 26 minus line 27.

This prior-year surplus/deficit was included in local authorities’ Comprehensive Income and Expenditure Statements in 2022-23. For 2023-24, local authorities must only include the “in-year” surplus/deficit as calculated at line 31 in their Comprehensive Income and Expenditure Statements.

Line 29:          Estimated non-domestic income 2023-24
Information Cell.  Authorities are not required to enter data.

Line 29 shows the estimate of non-domestic rating income for 2023-24 that authorities made in their 2023-24 NNDR1s.  The figure at column 5 is taken from Part 1 of the 2023-24 NNDR1.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 30:          Actual non-domestic rating income 2023-24
Information Cell.  Authorities are not required to enter data.

Line 30 shows the actual non-domestic rating income for 2023-24.  The figure in line 30 is taken from Part 1, line 11 of this form.

This figure is automatically apportioned between central government, the billing authority and its major preceptors at columns 1 – 4 in accordance with the percentage shares in Note S and, for convenience, set out above line 1.

Line 31:          In-year surplus/deficit
Information Cell.  Authorities are not required to enter data.

Line 31 shows the “in-year” surplus/deficit on the Collection Fund for 2023-24.

It is automatically derived from lines 29 and 30.  The calculation for each column is line 30 minus line 29.

This amount represents the “in-year” surplus/deficit that local authorities should include in their Comprehensive Income and Expenditure Statements for 2023-24.

Line 32:          Closing balance at 31 March 2024
Information Cell.  Authorities are not required to enter data.

Line 32 shows the closing balance on the Collection Fund at 31 March 2024, i.e. for 2023-24.

It is automatically derived from lines 28 and 31.  The calculation for each column is line 28 plus line 31.

The amounts recognised by a major precepting authority will be the sum of the “line 32 amounts” of all its billing authorities.

1. A billing authority’s major precepting authorities (if any) are a county council, or single purpose fire authority that exercises functions within the billing authority’s area; for London Boroughs this is the Greater London Authority (GLA); for Bristol, South Gloucestershire and Bath and North East Somerset this is the West of England Combined Authority (WoECA) and for Bolton, Bury, Manchester, Oldham, Rochdale, Salford, Stockport, Tameside, Trafford and Wigan this is the Greater Manchester Combined Authority. ↩

2. The Freeport tax sites are designated through the Non-Domestic Rating (Designated Areas) Regulations 2023 (2023/175) ↩

3. “ LA % Factor”: SBRR local authority % factors are set out in Sch.4 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (as amended), which was inserted by the Non-Domestic Rating (Rates Retention and Levy and Safety Net) (Amendment) Regulations 2018 and revised by the NDR (Rates Retention and Levy and Safety Net) (Amendment) and (Levy Account: Basis of Distribution) Regulations 2019 the Non-Domestic Rating (Rates Retention, Levy and Safety Net and Levy Account: Basis of Distribution) (Amendment) Regulations 2020 and, the Non-Domestic Rating (Levy and Safety Net) (Amendment) Regulations 2022 and the Non-Domestic Rating (Rates retention: Miscellaneous Amendments) Regulations 2023 ↩

4. SBRR local authority fixed sums in respect of loss of supplementary multiplier income are set out in Sch.4 to the Non-Domestic Rating (Rates Retention) Regulations 2013 (as amended), which was inserted by the Non-Domestic Rating (Rates Retention and Levy and Safety Net) (Amendment) Regulations 2018 and revised by the NDR (Rates Retention and Levy and Safety Net) (Amendment) and (Levy Account: Basis of Distribution) Regulations 2019 and, the Non-Domestic Rating (Levy and Safety Net) (Amendment) Regulations 2022 and the Non-Domestic Rating (Rates Retention: Miscellaneous Amendments) Regulations 2023. The “Fixed sum” is given as an amount of RV for the billing area (“RV BA”) and or designated area (“RV DA”) multiplied by the supplementary multiplier paid by businesses with an RV > £51,000, of 0.013 (1.3p). ↩