Rural rate relief guidance

On 1 April the single new council for North Yorkshire launched replacing Scarborough Borough Council and other local authorites in North Yorkshire.

To find your Councillor or to view minutes, meetings and agendas please visit the North Yorkshire Council website.

Relief shall apply to properties that are situated in any of the rural settlements shown in the rural settlement list at the foot of this document. The list shows all village and parishes where the population of any settlement is not more than 3000. The list is based on the ‘Right to Acquire’ Scheme for designated rural areas, as set down in the relevant legislation, the Local Government and Rating Act 1997 and the Non-Domestic Rating (Rural Settlements) (England) Order 1997. A map showing the defined areas is available for inspection at the Town Hall, Scarborough.

General stores, post offices and food shops

Rural rate relief was introduced in England and Wales on 1 April 1998 for village shops. Originally the scheme was only open to occupiers of a sole general store or post office within a rural settlement. With effect from 15 August 2001 this scheme was extended to any qualifying store. A qualifying store is a trade or business consisting wholly or mainly of retail sale of food for human consumption (excluding catering and

Public houses and petrol filling stations

The Public House and Petrol Filling Station Relief Scheme was introduced in April 2001.

A qualifying "public house" is classified as a premise for which a Justices On-Licence (within the meaning of the Licensing Act 1964, other than a Part IV Licence within the meaning of that Act) is in force.

A qualifying "petrol flling station" means premises where petrol or other automotive fuels are sold retail to the public for fuelling motor vehicles intended or adapted for use on roads.

Mandatory relief

A rate reduction equal to 50% of the chargeable amount can be granted in any one year in respect of a non-domestic property where;

  • It is wholly or partly used as a petrol filling station or public house with a rateable value not exceeding £12,500
  • It is a sole village shop or post office with a rateable value not exceeding £8,500
  • It is the sole such business in that particular rural settlement

If mandatory rate relief is granted and another such business opens during the year, the rate relief will continue for the original business up to the end of the particular financial year.

Discretionary relief

From April 2017, the government provided guidance that local authorities are to grant discretionary relief to all recipients of mandatory rural rate relief to the value of 50%.

Scarborough Borough Council also has powers to grant relief at its own discretion to any other non-domestic rated premises in a rural settlement where it has a rateable value not exceeding £16,500 where;

The property is used for purposes which are of benefit to the local community and,

It would be reasonable for the billing authority to grant relief having regard to the interest of its council tax payers

When considering and determining the award of Discretionary Relief, the Council will take the following into consideration:

  1. The extent to which the business benefits the local community.
  2. The extent to which the business provides services directly to the local community
  3. The extent to which all or a majority of customers of the business are from the local community.
  4. Whether the business is a retail outlet.
  5. Whether the business is already receiving Hardship Relief
  6. Whether there is some special or overriding reason justifying the award of Discretionary Relief.
  7. If the granting of Relief would significantly add to the viability of the business.

Where applying for discretionary relief, we would request that you provide you last 2 years accounts to support the application.

Scarborough Borough Council rural settlement list

Aislaby

Borrowby

Brompton

Broxa

Burniston

Castleton

Cayton

Cloughton

Commondale

Crossgates

Danby

Dunsley

East Ayton

East Barnby

Egton

Egton Bridge

Ellerby

Eskdaleside

Flixton

Folkton

Fylingdales

Glaisdale

Goathland

Goldsborough

Gristhorpe

Grosmont

Hackness

Harwood dale

Hawsker

Hinderwell

Hunmanby gap

Hutton buscel

Hutton mulgrave

Irton

Langdale end

Lealholm

Lebberston

Littlebeck

Lythe

Mickleby

Muston

Newholm

Newton Mulgrave

Osgodby

Port Mulgrave

Ravenscar

Reighton

Robin Hoods Bay

Roxby

Runswick Bay

Ruswarp

Sandsend

Sawdon

Seamer

Silpho

Sleights

Sneaton

Sneatonthorpe

Speeton

Stainsacre

Staintondale

Staithes

Suffield

Ugglebarnby

Ugthorpe

West Ayton

West Barnby

Westerdale

Wykeham

This list has been compiled in accordance with the Local Government & Rating Act 1997. A map showing the defined areas is available at The Town Hall, St Nicholas Street, Scarborough.