Local government finance circular 5/2023: non-domestic rates relief guidance

Fresh start relief

98. The key legislation is the Non-Domestic Rates (Levying and Miscellaneous Amendment) (Scotland) Regulations 2023.
99. Mandatory relief of 100% is available for a period of up to 12 months, for certain occupied premises. The following two criteria must be met:

• the property has been unoccupied for a continuous period of at least six months immediately prior to the applicant’s occupation;
• the property has a RV of up to £100,000 (up from £95,000 until 31 March 2023).

100. Where there is a change of occupier during the qualifying period for this relief, the new occupier may still receive the remaining balance of this relief. Equally nothing in the regulations precludes an occupier vacating for six months and re-occupying the property being eligible for Fresh Start relief.
101. For properties that were awarded Fresh Start relief in respect of 2022-23 and where the relief period continues into 2023-24, 100% relief will continue to be available for the remaining period of the relief award, regardless of the new rateable value of the property following revaluation.
102. This relief is mandatory and 100% funded by the Scottish Government.
103. Local authorities will have to consider whether this must be awarded as MFA or whether the subsidy control requirements are met. As no sectoral restrictions apply and this relief is available for a particular circumstance (newly reoccupied long-term empty property), it is unlikely to confer a selective advantage however.