Business Rates

Empty Property Relief (EPR) was devolved to individual local authorities from 1 April 2023. All elements of EPR were devolved including rates exemptions for prescribed vacant property (e.g. unoccupied listed buildings, buildings under reconstruction and empty properties with a rateable value of under £1700), enabling councils to offer any local relief for unoccupied properties in a way that is tailored to local needs. The Scottish Government, in line with the independent Barclay Review of Non-Domestic Rates, supports measures that help bring empty property back into economic use.

The Council recently voted to amend the existing policy from 1st April 2024, by applying 50% relief for the first 3 months after rateable occupation ends, followed by 10% thereafter until occupied, applied across all relief categories, except where 100% relief is indefinitely awarded for unoccupied properties which meet any of the following:

• Empty property which is owned by a trustee for sequestration, liquidation, or executors
• Empty property which cannot be occupied by law
• Empty property which is under a compulsory purchase order
• Empty property where the owner is in administration (or subject to an administration order)
• Empty property where the owner is a company or partnership being wound up

As this would take effect from 1 April 2024, it would apply to those properties who have had 100% relief under the existing policy, therefore it is proposed that in these cases there would be a phasing in of the relief and the ‘clock be reset’ for these properties. They would be treated as empty from 1st April 2024, which would result in them being eligible for the 50% three months and 10% thereafter (provided they remained empty).

This policy will be reviewed again in time for 01 April 2026.

There may be other types of relief you may be eligible to claim, if you wish to discuss this further please contact us at local.taxation@shetland.gov.uk or on 01595 744683.