Working from home, renting out a holiday home or providing bed and breakfast - you may have to pay business rates on your property
If you have a typical shop, it will probably be ‘zoned’ as a means of determining the rateable value. These zones will appear on your summary valuation as Retail Zone A, Retail Zone B and so on. Zoning is based on the principle that the most valuable part of a shop per square metre is found in the sales area at the front, nearest the principal customer entrance, and including any display. This means the front of the shop is more valuable than the back.
In most cases zone A is the area at the front of the shop at pedestrian level. It is usually 6.1 metres deep, this measurement equating to what used to be 20 feet. Zone B is usually the next 6.1 metres and is typically half the value of zone A. Zone C, if there is one, is usually the next 6.1 metres and is typically one quarter the value of zone A. The remainder of the ground floor is calculated to show the area left after the zoning has been completed. Sales and ancillary space on other floors may also be expressed as a factor of the zone A value – for example, basement storage may be one twentieth of the zone A value.
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STREET |
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Zone A |
Zone B |
Zone C |
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The depth of each zone or the number of zones on the ground floor may be different depending on the particular valuation scheme used. You should check how your property has been treated by consulting the valuation scheme notes on the Valuation Office Agency rating list application. The valuation scheme reference number can be found on your summary valuation, next to the property description.
© 2004 mybusinessrates.gov.uk