Business Rates For CL’s?

Edgeone
Edgeone Forum Participant Posts: 1
edited January 31 in Certificated Locations #1

Hi

I’m looking into setting up my own CL and I’ve read the forum with regards to Business Rates.

I’ve looked into this and I’m not clear how any CL is paying rates.

There is small business rate relief where any business with a rateable value of less than £6,000 pays no business rates.

The rateable value for CL’s is calculated at between 18-25% of the gross receipts, the percentage depends on if the site is basic or with full hard standing etc. So a basic site with EHU that I’m considering is 20%.

To even get to a rateable value of £6,000 you would need annual gross receipts of £30,000.

No CL can be generating £30,000.

I must have this wrong somehow as many CL owners are stating they pay business rates.

Thanks

Chris

Comments

  • NeyRhy123
    NeyRhy123 Forum Participant Posts: 1
    edited October 2020 #2

    did you manage to find an answer, im considering opening up a cl and its a mine field to find whats what, ?

  • nelliethehooker
    nelliethehooker Club Member Posts: 14,067
    5,000 Likes 1000 Comments Name Dropper
    edited October 2020 #3

    You could pose you query on here www.clsiteowners.co.uk as they should be able to help. 

     

  • CLMaddie
    CLMaddie Moderator, Staff Posts: 252 mod
    100 Likes 100 Comments Photogenic
    edited October 2020 #4

    Hi Edgeone

    You would need to speak to your local authority with regards to business rates. Your CL business would need to be earning a certain amount each year to be paying business rates. If the CL was your only business you would most likely not fall into that category.

    Thanks

    Maddie 

  • wildemere
    wildemere Forum Participant Posts: 68
    edited October 2020 #5

    When I setup my CL many years ago, my local council wanted me to have a much bigger site than 5 vans to help meet a need for the area, they would help with the planning and the plans for a toilet block at no cost to myself. I did not go down that route for two reasons  firstly the costs some £20 K and then the whole site would have been subject to rates. The CL has to date never been subjected to them.But I am aware of one that is at a zero rate to date, but had the shadow of what happens in the future.

  • Goldie146
    Goldie146 Club Member Posts: 2,502
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    edited October 2020 #6

    I hope that after 7 years the OP has found the answer.

  • Suzanne1964
    Suzanne1964 Forum Participant Posts: 1
    First Comment

    We're thinking of setting up a CL and was wondering if we would be liable for business rates. Is there a minimum that we would have to earn before we are legible

  • Tinwheeler
    Tinwheeler Forum Participant Trusted Posts: 23,427
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    Goodness, this is an ancient thread!

    CAMC will help you and have a link on the main website -

    https://www.caravanclub.co.uk/uk-holidays/uk-sites/certificated-locations/setting-up-a-certificated-location/

  • CholseyGrange
    CholseyGrange Club Member Posts: 294
    100 Comments

    As ever when taxes or local authorities are concerned, this is not a straightforward matter. The CL Owners Group is here to help both prospective and existing CL Owners with advice and guidance.

    See

    https://www.clsiteowners.co.uk/

    The topic of Business Rates was discussed at one of our frequent Zoom Meetings and luckily we had a qualified expert in the field who was willing to give us some guidance and background. It is true to say that the vast majority of CLs will (in the current regime 2025) not pay Business Rates as they likely fall under the Small Business Rates threshold, some sites - where they have other business assets that are rateable - will not qualify for relief.