Question reference: S6W-05181
- Asked by: Liz Smith, MSP for Mid Scotland and Fife, Scottish Conservative and Unionist Party
- Date lodged: 16 December 2021
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Current status: Answered by Tom Arthur on 13 January 2022
Question
To ask the Scottish Government how much additional revenue from non-domestic rates it expects would be generated in 2022-23 from the increase in the poundage rate proposed in its Budget, broken down by industry sector.
Answer
The Scottish Budget continues to deliver the lowest poundage in the UK for the fourth year in a row, with a below inflation increase to 49.8p proposed in 2022-23. Compared to maintaining the poundage at the current rate of 49p, we estimate that this a will raise an additional £45 million.
Table 1 shows the estimated loss in gross non-domestic rates income (£57.9m) from freezing the poundage at 49p compared to raising it to 49.8p.
Table 1 presents a breakdown by property class as the Scottish Government does not hold property-level data on industry sectors. Property class is a classification used by Scottish Assessors to describe the type of property, and may not necessarily accurately reflect the use of a property.
Due to the application of a £27,500 cap per ratepayer on retail, hospitality and leisure relief in 2022-23, it is not possible to robustly estimate the breakdown of these net figures by property class at this time.
Table 1: Estimated loss to NDR income of freezing the poundage at 49p compared to 49.8p by property class
Property class | Estimated loss in gross NDR income |
Shops | 12,473,000 |
Public Houses | 960,000 |
Offices | 8,145,000 |
Hotels | 2,189,000 |
Industrial Subjects | 10,080,000 |
Leisure, Entertainment, Caravans etc. | 2,344,000 |
Garages and Petrol Stations | 582,000 |
Cultural | 441,000 |
Sporting Subjects | 261,000 |
Education and Training | 4,482,000 |
Public Service Subjects | 2,730,000 |
Communications | 202,000 |
Quarries, Mines, etc. | 121,000 |
Petrochemical | 901,000 |
Religious | 451,000 |
Health and Medical | 1,857,000 |
Other | 1,209,000 |
Care Facilities | 989,000 |
Advertising | 85,000 |
Statutory Undertaking | 7,429,000 |
All | 57,931,000 |
Estimated loss in net NDR income | |
All (property class breakdown unavailable) | 45,437,000 |
Source: Scottish Assessors’ Valuation Roll as at 1 October 2021.
Figures may not sum due to rounding. Figures are rounded to the nearest £1,000.