Business rates (NNDR)

Legislative framework

The modern system of NNDR is primarily governed by the Local Government Finance Act 1988 (LGFA 1988). LGFA 1988 established:

1. •

   that rates were to be raised only on non-domestic property—occupiers of domestic property would instead pay community charges (from 1993 replaced by council tax, see Practice Note: Council tax)

2. •

   that rates bills were to be set nationally by way of government specified multipliers to be applied to rateable values for each financial year

3. •

   billing authorities are responsible for billing, collection and enforcement

4. •

   the distribution and retention of NNDR income between central government and local authorities, which has been modified by subsequent legislation

5. •

   a number of reliefs are available in specific