Holiday at Home – Challenging a 100% increase in Rateable Value!
Our client Brompton Lakes, a luxury holiday lodge destination in Richmond, North Yorkshire were subjected to a 100% increase in Rateable Value from the 2010 List to the 2017 List.
As a result we were introduced to the owners by Tim Catterall of Tim Catterall of Catterall & Co, to assist in reducing the RV.
Having reviewed the local, regional and national leisure markets, we presented our challenge case based on competition, turnover, quality of accommodation, the costs of running such an operation.
We successfully negotiated a Rateable Value based on % of turnover, which equated to a saving of 33%.
- Rateable Value saving achieved: 33%
Charlotte Denny, Director Holiday at Home.
“We were shocked at the increase in rates and knew it would negatively impact on the business, and so were recommended to use Jonathan by a friend.
Jonathan lodged his challenge and he said it would take time as the reduction he sought was substantial. He was right, but in the end, we were delighted with the 33% rates reduction Jonathan achieved.
I would certainly recommend getting in touch with Jonathan.”
Jonathan Weastell, Head of Rating
“I was pleased to receive the recommendation from Tim Catterall. When I saw the initial case details, the 100% increase seemed excessive. The owners were surprised at the magnitude of the increase and said that if they knew about the increase earlier they would have made adjustments to their finances to accommodate the significant additional operating cost.
This was an interesting case for a number of reasons.
In the 2010 Rating List, nearly all holiday homes/cottages/lodges were valued on a per bed space, the comparison to other businesses was relatively straight forward. In the 2017 Rating List the larger lodge sites were valued on the same basis as caravan parks, which is a % of turnover.
As the new method of valuation is based on accounts there is limited rental comparisons readily available and the turnovers of other similar properties are protected.
I reviewed a significant amount of literature on lodge park operators and operation costs.
The new Challenge required the full case to be submitted, which took some considerable time as evidence was limited, the case had to draw on all my experience in various leisure industry trading valuations/rating cases to come up with a strong argument.
I was pleased with the reduction and it will hopefully assist my client in getting through these difficult times.”
