Purpose

The Cabinet will be asked to consider the
range of the discounts and support available in respect of Business
Rates and Council Tax for the Year 2025/26.

Content

The Cabinet has
considered proposed changes to the scheme of local discounts and
exemptions against liability for Business Rates and Council Tax and
has agreed:-
 
(1) That private
schools should not be eligible for discretionary rate relief as a
non-profit organisation, due to the potential cost to the council
which is currently estimated at £0.651m.
 
(2) That the Business
Rates Discretionary Relief Policy for 2025-26 at Appendix 1 is
endorsed.
 
(3) That discretionary
Business Rates relief under Section 47 of the LGFA 1988 will
normally be awarded from the start of the financial year in which
the application is made or the date the business became liable for
rates, if later. Consideration will be given to backdating relief
from the start of the previous financial year where valid reasons
are provided for not applying earlier. 
Awards given under Section 44a on partly occupied premises or
Section 49 on the grounds of hardship, will be determined on a
case-by-case basis as appropriate.
 
(4) That discretionary
Business Rates relief will normally expire at the end of the
financial year in which the award is made or cease from the date
liability ends (whichever is the earliest), except where it is
granted based on the status of an organisation which is unlikely to
change.
 
(5) That where a
business has a change in circumstances, two months’
notice  will be given to reduce or
revoke a discretionary rates relief award, effective from the date
the change occurs.
 
(6) That any new
applications for Retail, Hospitality and Leisure Relief should be
backdated to April 2023 where eligibility exists from that date, in
line with para 3.3.3.
 
(7) That the council
continues with its existing empty property discount and premium
scheme for 2025-26, as shown at paragraph 4.2.1.
 
(8) It is noted that
the decision to charge a Council Tax premium on second homes from
April 2025 was agreed at the council meeting of 11 January 2024 and
therefore a new decision is not required on this aspect of the
scheme for 2025-26.
 
(10) That exceptions
to both the long-term empty and second home premiums are applied in
line with published statutory guidance and that a localised policy
will be developed during 2025-26 based on learning throughout the
year.
 
(11) That any Council
Tax liability for care leavers up to the age of 25 be reduced to
zero for 2025-26.
 
(12) That
Stockport’s Council Tax Support scheme is maintained for the
financial year 2025-26 as detailed at Appendix 3.
 
(13) That the Council
Tax discretionary fund is set at £0.2m for 2025-26,
supporting customers facing financial difficulty, with no
alternative means. 
 
(14) That delegation
is given to the Director of Finance in consultation with the
Cabinet Member for Finance and Resources to review and adjust the
fund during 2025-26, capped at a total fund of £0.385m if
required, to support the council’s ongoing cost-of-living
response.
 
(15) That delegation
is given to the Director of Finance in consultation with the
Cabinet Member for Finance and Resources to consider any subsequent
Government announcements that impact on Business Rates and Council
Tax reductions for 2025-26, and to decide what changes should be
made aligned to legislation.