Listed buildings are an important part of our cultural heritage, with thousands of historic properties protected and preserved for future generations to enjoy However, being the owner of a listed building comes with its own set of challenges and responsibilities, one of which is dealing with empty rates.
Empty rates, also known as vacant rates, are taxes that property owners must pay on buildings that are empty or unoccupied This tax is imposed by local authorities as a way to encourage property owners to keep their buildings in use and prevent them from falling into disrepair For owners of listed buildings, empty rates can be particularly burdensome due to the unique challenges and restrictions that come with owning a historic property.
Listed buildings are protected by law, which means that any alterations or changes to the property must be approved by the local planning authority This can make it difficult for owners to find suitable tenants or buyers for their buildings, as potential occupants may be put off by the restrictions on what they can do with the property As a result, many listed buildings end up sitting empty for long periods of time, leaving the owners liable for hefty empty rates bills.
One of the main reasons why empty rates are such a concern for owners of listed buildings is the fact that they are often based on the rateable value of the property The rateable value is an estimate of how much rent the property could fetch on the open market, and it is used to calculate how much empty rates the owner must pay For listed buildings, which are often large and in need of extensive maintenance and repairs, the rateable value can be quite high, resulting in significant empty rates bills.
Another issue that owners of listed buildings face when it comes to empty rates is the difficulty of obtaining relief or exemptions While some types of properties, such as industrial units or agricultural land, may be eligible for exemptions from empty rates, listed buildings are not usually included in these categories empty rates listed buildings. This means that owners of listed buildings are generally required to pay the full rate, even if the property has been empty for an extended period of time.
One possible solution to the problem of empty rates for listed buildings is to seek a change of use for the property By obtaining planning permission to convert the building into a different type of use, such as residential or commercial, owners may be able to attract tenants or buyers and avoid paying empty rates However, obtaining planning permission for a change of use can be a lengthy and complex process, and there is no guarantee that permission will be granted.
Another option for owners of listed buildings who are struggling with empty rates is to consider leasing the property to a charitable or community organization Charitable organizations are eligible for relief from empty rates, so by leasing the property to a charity, owners may be able to reduce or eliminate their empty rates liability This can also have the added benefit of helping to preserve and maintain the historic building for future generations to enjoy.
In conclusion, empty rates can be a significant concern for owners of listed buildings, due to the unique challenges and restrictions that come with owning a historic property The high rateable values of listed buildings, combined with the difficulty of obtaining relief or exemptions from empty rates, can make the financial burden of owning a listed building even greater However, by exploring options such as seeking a change of use or leasing the property to a charitable organization, owners may be able to mitigate the impact of empty rates and ensure the long-term preservation of their historic properties.