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Firms facing “shockingly slow” wait for business rate review appeals

Liam Kerr.
Liam Kerr.

A north-east politician has claimed that companies affected by soaring business rates are facing a “shockingly slow” wait for their appeals to be processed.

Some firms in the area are facing an increase of as much as 300% on the tax paid on their properties, following a revaluation of rateable values by the Grampian Assessor last year.

Many traders have appealed for the assessor to review the calculations, amid fears that paying the heightened levy will push their businesses to the brink.

But it has emerged that only 520 out of more than 73,000 of the applications submitted across the country have been processed – representing a total of 0.7%.

The deadline for back payment, in the cases of firms being found to be overtaxed, is 2020.

North-east MSP, Liam Kerr, Conservative, has been contacted by numerous concerned constituents and last night argued that not enough was being done to hasten the process.

He said: “It is shocking that businesses are having to wait so long for their appeals to be resolved.

“This is causing businesses, especially small businesses in my area, a lot of concern.”

Mr Kerr has asked the Cabinet Secretary for finance, Derek Mackay, what action was being taken to speed things up “before it is too late”.

But the latter argued he couldn’t intervene directly as it is an independent body.

He added: “As of December 1 2017, 73,577 properties have appealed the 2017 revaluation and 520 have been resolved.

“Of course, I would want them to be considered as quickly as possible and in terms of wider engagements support with assessors and appeals bodies, I’m trying to be supportive as I can for them to execute their functions effectively.”

Owner of Aberdeen’s Marcliffe Hotel, Stewart Spence, has been one of the north-east’s most outspoken residents when it comes to the contentious tax increase.

He has been hit with a 25% increase, despite his turnover dropping by 40% since the last evaluation in 2010.

A spokeswoman for the Scottish Government said: “Valuation appeals are part of an independent statutory legal process and may ultimately be determined by the court of session.

“We have no locus to intervene in any independent legal hearings, including valuation appeals, but all ratepayers have the right to request an expedited hearing.”