This could take years as Rates Appeals backlog mounts.

How long have you got?

Businesses that appeal their 2017 rates assessment could be in for a shock and have to wait years for them to be resolved because of a backlog facing the Valuation Office Agency (VOA) from outstanding appeals and government proposals to alter the appeals system.

There are currently around 280,000 appeals outstanding against 2010 assessments, and only 64,000 appeals were dealt with last year. At this rate, it could take over 3 years to clear the backlog before any 2017 appeals are even considered.

The government is facing calls to overhaul the way business rates are dealt with, but with the VOA being forced to slash a third of its resources by 2020, the whole system is grinding to a halt, leading to many business groups and property professionals questioning whether this property tax, which traces its ancient roots back to the 1572 Poor Law, is fit for purpose in the 21st century.

It is incomprehensible that the VOA is not receiving adequate support or resources to handle the current backlog and manage the 2017 list in light of the government’s reforms to the appeals process in an effort to streamline and make it simpler for businesses to appeal their rates in what is known as “check, challenge, and appeal.” It is noteworthy that the Welsh Assembly, which sees this as an English-only issue, has already abolished this “Check Challenge Appeal” system.

It looks like many businesses should be prepared for the long haul if they are relying on a successful rate appeal to reduce their property tax burden. And even then, the government proposes to limit the grounds for a reduction in any successful appeal to no more than those outside the bounds of reasonable judgement, which broadly means even if your rates are overassessed anywhere between 10 and 15%, there will be no reduced bill.

As the row rumbles on, uncertainty reigns. The government needs to listen to the views of businesses and take urgent action to reduce excessive rates, implement more frequent revaluations, and establish a fair appeals system.