Business Rates on Pubs & Licensed Trade

 

Fair maintainable trade is a standard valuation approach, used by pub businesses, to calculate pub and licensed trade rents.

 

The Valuation Office Agency (VOA) uses fair maintainable trade to arrive at the rateable value for pubs and other licensed premises. Rateable value represents rental value as of 1 April 2008.

 

Fair maintainable trade is the annual level of trade - excluding VAT - that a pub can be expected to achieve assuming a reasonably efficient operator.

 

It is based on:

  • the type of pub or licensed premises
  • the area it is in
  • what services it is able to offer - such as food, gaming or sports screenings

 

A reduction in rateable value would also guarantee a reduction in Sky Sports subscription.

 

Sources of valuation information

 

VOA valuations for pubs and licensed premises are based on actual rents and turnovers collected from businesses between February and July 2008.

The VOA uses this information to establish levels of fair maintainable trade for all licensed premises, and then apply a percentage to the fair maintainable trade figure to calculate the rateable value.

 

Since the smoking ban was put into force trade has considerably reduced thus making the turnover figures from 2008 open to challenge.

 

If you think your turnover has significantly reduced sinced 2008 then you could be inline for a reduction and also a rebate so Call us TODAY - We can Help....

 

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