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Held: 11 May 2001
Present at the meeting were representatives from the following
organisations:
Valuation Office Agency
Local Government Association
Birmingham City Council
Corporation of London
Derby City Council
Milton Keynes Council
Representatives of Manchester City Council, the London Borough
of Camden and Wilks-Head and Eve were also invited but were unable
to attend.
Summary of previous meeting of 25 January 2001:
- None of the attendees wished to amend the summary.
Discussion paper - involving local government in the 2005 Revaluation
- The paper addresses the concept that discussions between the
VOA and local authorities on major classes of local authority
property could take place prior to the publication of the rating
list rather than afterwards. These discussions can cover the principles
and methods of valuation with the aim of agreement on these by
November 2003. Valuations need to be in place by the end of May
2004.
- Concern was expressed that to achieve this there would have
to be input from many local authorities and there may be difficulty
arousing interest. Local authority representatives are busy people
and it might be difficult for them to find time for further input.
It was argued that the demands of programming and the foot and
mouth crisis will impact on both VOA and LA resources and could
affect prior-agreement.
- The meeting thought that in order to attract as many LAs as
possible, ways need to be found to make local authorities more
aware of the advantages of agreeing as much as possible prior
to the setting of the rateable values of their properties. Business Rates are a great liability for local authorities and discussion
suggested that finance departments would prefer certainties to
help them budget rather than the windfalls of appeal-based reductions.
- The VOA and LGA need to persuade finance personnel, rather than
their property counterparts, in local authorities of the advantages
of prior-agreement.
- The Group will prepare a business case to present to local authority
personnel. Everyone present agreed to approach contacts to gauge
reaction to the business case proposal and to consider the approach
to it. They will return to VOA representatives in one month's
time with ideas. The VOA will co-ordinate with DTLR on completion
of the business case.
Taking forward which classes of LA properties might be suitable
for prior agreement
- Not all classes of property are suitable for drawing into national
discussions on prior-agreement for example libraries are too diverse
as are offices, shops and industrial properties occupied by local
authorities.
- Cemeteries/crematoria, town halls, magistrates courts, schools
and public conveniences are all possible candidates for nation
wide, prior-agreed schemes of valuation.
- Some of the representatives at the meeting felt that the de-capitalisation
rate used in contractors' test based valuations should be included
in national scheme discussions. It is currently not a matter for
negotiation with the VOA as it is designated by Government.
Action points
The Group will now prepare a business case.
A date for the next meeting was not set.
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