Non-domestic rates on empty properties

Bill to amend existing legislation passed.

Legislation to correct an error in law for owners of unoccupied properties’ liability to pay non-domestic rates has been passed.

The Non-Domestic Rates (Liability for Unoccupied Properties) (Scotland) Bill applies the necessary changes retrospectively for all levies charged since April 2023.

The Bill was introduced after an error was identified in amendments made to the Non-Domestic Rates (Scotland) Act 2020, which devolved to councils the power to provide discounts to owners of unoccupied properties from 1 April 2023. The error means there has been no legal basis to levy non-domestic rates on the owners of unoccupied properties since 1 April 2023. 

This Bill brings the statute book into line with Parliament’s 2020 vote to give greater fiscal powers to councils and with the way the non-domestic rates system has been operating in practice since 1 April 2023.

It protects revenue already collected for public services and does not introduce any additional new costs to businesses or individuals compared to the Scottish Parliament’s original intended policy.

– PUBLIC FINANCE MINISTER IVAN MCKEE

Background

Non-domestic rates on empty properties – gov.scot

The Non-Domestic Rates (Liability for Unoccupied Properties) (Scotland) Bill will enable charging of non-domestic rates on owners of unoccupied non-domestic property, subject to any reliefs that local authorities may choose to put in place, backdated until 1 April 2023. This was the intended effect of the Non-Domestic Rates (Scotland) Act 2020.