The Non-Domestic Rating (Alteration of Lists and Appeals) (Wales) Regulations 2023

Made: 22 March 2023

Coming into force: 1 April 2023

A draft of this instrument has been laid before, and approved by a resolution of, Senedd Cymru in accordance with section 143(3E)(b) of the Act.

PART 1 — General

Title, application and commencement

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• (1) These Regulations, which apply in relation to Wales, are titled the Non-Domestic Rating (Alteration of Lists and Appeals) (Wales) Regulations 2023.

• (2) These Regulations come into force on 1 April 2023.

Interpretation: general

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• (1) In these Regulations—

• “the Act” (“y Ddeddf”) means the Local Government Finance Act 1988;

• “alteration” (“newid”) means alteration of a local list or the central list in relation to a particular hereditament, and “alter” (“newid”) is to be construed accordingly;

• “appeal” (“apêl”) means an appeal under—regulation 18;regulation 24;paragraph 4 of Schedule 4A[^f00003] to the Act (non-domestic rating: new buildings (completion days)) as it applies to Part 3 of the Act (non-domestic rating) (in these Regulations called an “appeal against a completion notice”);paragraph 5C of Schedule 9[^f00004] to the Act (in these Regulations called an “appeal against imposition of a Schedule 9 penalty”);

• “appeal against imposition of a penalty” (“apêl yn erbyn gosod cosb”) means—an appeal against imposition of a Schedule 9 penalty, oran appeal under regulation 18;

• “authority” (“awdurdod”) means a billing authority which has the meaning given by the

• Local Government Finance Act 1992[^f00005];

• “central list” (“rhestr ganolog”) means a list compiled and maintained in accordance with section 52ZA of the Act;

• “clerk” (“clerc”), in relation to an appeal, means the clerk of the VTW;

• “company” (“cwmni”), “holding company” (“cwmni daliannol”) and “subsidiary” (“is-gwmni”) have the meanings given by the Companies Act 2006[^f00006];

• “completion notice” (“hysbysiad cwblhau”) means a notice under paragraph 1 of Schedule 4A to the Act as it applies to Part 3 of the Act, which states the completion day as 1 April 2023 or later;

• “CVO” (“SPC”) means a central valuation officer;

• “electronic communication” (“cyfathrebiad electronig”) has the meaning given in section 15(1) of the Electronic Communications Act 2000[^f00007];

• “hereditament” (“hereditament”) has the meaning given by section 64 of the Act;

• “IP” (interested person) (“PB” (person â buddiant)) —in relation to a hereditament which forms part of the Crown Estate and is held by the Crown Estate Commissioners under their management within the meaning of section 1 of the Crown Estate Act 1961[^f00008], means the Crown Estate Commissioners;in relation to any other hereditament, means—the occupier;any other person (other than a mortgagee not in possession) having in any part of the hereditament either a legal estate or an equitable interest that would entitle that person (after the end of any prior interest) to possession of the hereditament or any part of it;any person having a qualifying connection with the occupier or a person described in (ii);

• “local list” (“rhestr leol”) means a list compiled and maintained in accordance with section 41ZA of the Act;

• “Part 2 penalty” (“cosb Rhan 2”) means a financial penalty imposed under regulation 16;

• “President” (“Llywydd”) means the President of the VTW;

• “proposal” (“cynnig”) means a proposal under regulation 11 for the alteration of a local list or applied by regulation 31 for the central list;

• “proposer” (“cynigydd”) means the person making a proposal;

• “qualifying connection” (“cysylltiad cymwys”) has the meaning given in paragraph (2);

• “ratepayer” (“trethdalwr”), as it applies to a hereditament, means the occupier or, if the hereditament is not occupied, the owner;

• “relevant authority” (“awdurdod perthnasol”), in relation to a hereditament, means the authority in whose area the hereditament is situated;

• “Schedule 9 penalty” (“cosb Atodlen 9”) means a penalty imposed under paragraph 5A of Schedule 9 to the Act;

• “valuation tribunal” (“tribiwnlys prisio”) means a tribunal convened on or after 1 July 2010 by the Valuation Tribunal for Wales unless expressly referring to a valuation tribunal which existed before 1 July 2010;

• “VO” (“SP”) means a valuation officer; and as it applies to a list, means the valuation officer for the authority for which the list is compiled and maintained;

• “VTW” (“TPC”) means the Valuation Tribunal for Wales[^f00009];

• “VTW’s electronic portal” (“porth electronig TPC”) means the online facility provided by the VTW for use in connection with appeals made in relation to—a local list compiled on or after 1 April 2023, ora central list compiled on or after 1 April 2023.

• (2) A person must be treated as having a qualifying connection with another—

• (a) where both persons are companies, and—

• (i) one is a subsidiary of the other, or

• (ii) both are subsidiaries of the same company, or

• (b) where only one person is a company, the other person (the “second person”) has an interest in that company which would, if the second person were a company, result in it being the holding company of the other.

• (3) Any reference in these Regulations to a party to an appeal includes the person making the appeal (“the appellant”) and—

• (a) where an appeal is made under regulation 18 or an appeal against the imposition of a Schedule 9 penalty, the VO;

• (b) where an appeal is made under regulation 24—

• (i) every person whose agreement is required under regulation 22, and

• (ii) any other person who has been a ratepayer in relation to the hereditament since the date mentioned in paragraph (3)(b)(iii) and who has notified the VO before the hearing, or before determination on the basis of written representations under regulation 37 or by agreement under regulation 38, that the person wishes to be a party to the appeal;

• (iii) the date referred to in paragraph (3)(b)(ii) is the date on which the VO received the confirmation for the check relating to the proposal that is the subject of the appeal.

• (c) where an appeal is made against a completion notice, the relevant authority.

• (4) In these Regulations, a reference to the end of the period for making an appeal under regulation18 is a reference to the end of the period of 28 days mentioned in regulation 18(4).

PART 2 — Alteration of Local Lists

Interpretation of Part 2

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• (1) In this Part—

• “check” (“gwiriad”), as it applies to a hereditament, has the meaning given in regulation 5;

• “confirmation” (“cadarnhad”) means a confirmation under regulation 7(1)(c);

• “grounds of the appeal” (“seiliau’r apêl”) means the ground or grounds in regulation 24(2) on which an appeal is made;

• “grounds of the proposal” (“seiliau’r cynnig”) means the ground or grounds in regulation 4(1) on which a proposal is made;

• “incomplete proposal” (“cynnig anghyflawn”) has the meaning given in regulation 14(1);

• “list” (“rhestr”) means a local list compiled on or after 1 April 2023;

• “material change of circumstances” (“newid perthnasol mewn amgylchiadau”), as it applies to a hereditament, means a change in any of the matters mentioned in paragraph 2(7) of Schedule 6[^f00010] to the Act;

• “particulars of the grounds of the proposal” (“manylion seiliau’r cynnig”) has the meaning given in regulation11(4)(b);

• “VO’s electronic portal” (“porth electronig yr SP”) means the online facility provided by the VO for the authority for which the list is compiled and maintained for use in connection with proposals for the alteration of a list compiled on or after 1 April 2023;

• “Welsh Consolidated Fund” (“Cronfa Gyfunol Cymru”) means the fund established by section 117 of the Government of Wales Act 2006[^f00011].

• (2) In this Part, a proposal is “determined” if—

• (a) it is withdrawn under regulation 21,

• (b) it is treated as withdrawn under regulation 22, or

• (c) a decision is given under regulation 20 or 23 applying to the proposal.

Circumstances in which proposals may be made

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• (1) The grounds for making a proposal are—

• (a) the rateable value shown in the list for a hereditament was inaccurate on the day the list was compiled;

• (b) the rateable value shown in the list for a hereditament is inaccurate because of a material change of circumstances which occurred on or after the day on which the list was compiled;

• (c) the rateable value shown in the list for a hereditament is inaccurate because of an amendment to the classes of plant and machinery set out in the Schedule to the Valuation for Rating (Plant and Machinery) (Wales) Regulations 2000[^f00012] which comes into force on or after the day on which the list was compiled;

• (d) the rateable value shown in the list for a hereditament is or has been inaccurate because of an alteration made by a VO;

• (e) the rateable value or any other information shown in the list for a hereditament is or has been inaccurate, because of a decision of—

• (i) the VTW,

• (ii) a valuation tribunal, or

• (iii) the Upper Tribunal or a court determining an appeal or application for review from the VTW or the Upper Tribunal,

about another hereditament;

• (f) the day from which an alteration is shown in the list as having effect is wrong;

• (g) a hereditament not shown in the list ought to be shown in that list;

• (h) a hereditament shown in the list ought not to be shown in that list;

• (i) the list should show that some part of a hereditament which is shown in the list is domestic property or is exempt from non-domestic rating but does not do so;

• (j) the list should not show that some part of a hereditament which is shown in the list is domestic property or is exempt from non-domestic rating but does so;

• (k) property which is shown in the list as more than one hereditament ought to be shown as one or more different hereditaments;

• (l) property which is shown in the list as one hereditament ought to be shown as more than one hereditament;

• (m) the address shown in the list for a hereditament is wrong;

• (n) the description shown in the list for a hereditament is wrong;

• (o) any statement required to be made about the hereditament under section 42 of the Act has been omitted from the list.

• (2) A proposal may be made—

• (a) by an IP who has reason to believe that one of the grounds set out in paragraph (1) exists;

• (b) by a person, other than an IP, who in relation to a hereditament—

• (i) has reason to believe that one of the grounds set out in paragraph (1) exists,

• (ii) has reason to believe that the ground relates to any time during which the person was an IP in relation to that hereditament,

• (iii) as an IP made a request under regulation 6(2), and

• (iv) (whether or not as an IP) complied with regulation 7;

• (c) by a person, other than an IP, who—

• (i) has reason to believe that a ground set out in paragraph (1)(c), (d) or (f) exists, and

• (ii) was an IP at any time during which the alteration or amendment in question had effect.

• (3) But no proposal may be made—

• (a) by reference to more than one ground unless, for each ground relied on, the material day and the effective date are the same;

• (b) by—

• (i) an IP, where that person (or a person having a qualifying connection with that person), acting in the same capacity, has made a proposal to alter the same list in relation to the same hereditament on the same ground and arising from the same event;

• (ii) a person mentioned in paragraph (2)(b) or (c), where that person (or a person having a qualifying connection with that person), acting in that capacity or acting as an IP, has made a proposal to alter the same list in relation to the same hereditament on the same ground and arising from the same event;

• (iii) an IP or a person mentioned in paragraph 2(b) or (c), where a proposal to alter the list in relation to the same hereditament and arising from the same facts has been made by another person (excluding a person having a qualifying connection with the IP) and has been determined by the VTW or the Upper Tribunal;

• (c) on the ground set out in paragraph (1)(d), to the extent that the alteration was made as a result of a previous proposal relating to that hereditament or gives effect to the decision of the VTW, the Upper Tribunal or a court determining an appeal or an application for a review in relation to the hereditament concerned.

• (4) In paragraph (3)—

• “effective date” (“dyddiad cael effaith”) means the day from which the alteration, if made, would have effect under this Part;

• “event” (“digwyddiad”) means the compilation of the list, a material change of circumstances or an alteration of the list by the VO;

• “material day” (“diwrnod perthnasol”), in relation to a hereditament, means the day determined as regards that hereditament under rules prescribed by regulations under paragraph 2(6A) of Schedule 6 to the Act.

Check of information about a hereditament

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• (1) Subject to paragraphs (4) to (6), a person may not make a proposal unless a check of information about the hereditament has been completed (“a check”).

• (2) A check consists of the steps in regulations 6 to 10.

• (3) In these Regulations, a check is completed in relation to a hereditament on—

• (a) the date on which the VO serves a notice under regulation 10(1), or

• (b) the date on which the check is taken to be completed under regulation 10(3).

• (4) Paragraphs (5) and (6) apply where—

• (a) on a day (“the creation day”) falling on or after 1 April 2023, a hereditament (“new hereditament”) comes into existence because—

• (i) property previously rated as a single hereditament becomes liable to be rated in parts,

• (ii) property previously rated in parts becomes liable to be rated as a single hereditament,

• (iii) a hereditament or any part of a hereditament becomes part of a different hereditament, and-

• (b) on or after the creation day, any hereditament from which the new hereditament was formed in whole or in part (“historic hereditament”) was shown in a list.

• (5) Where paragraph (4) applies—

• (a) for the purpose of paragraph (1), a check in relation to a new hereditament will be deemed to have been completed where a check has been completed on or after the creation day in relation to each historic hereditament, and

• (b) for the purposes of these Regulations, a check is completed in relation to a new hereditament on —

• (i) the date on which the VO serves a notice under regulation 10(1) in respect of the final historic hereditament, or

• (ii) the date on which the check in respect of the final historic hereditament is taken to be completed under regulation 10(3).

• (6) In paragraph (5)(b), “final historic hereditament” means the final historic hereditament in respect of which a check has been completed as mentioned in paragraph (5)(a).

Request for information held by the VO

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• (1) This regulation applies to a person mentioned in regulation 4(2)(a) or (c).

• (2) Before making a proposal, the person must request from the VO information which the VO holds about the hereditament.

• (3) On receiving a request for information under paragraph (2), the VO must provide the person with that information if—

• (a) the information reasonably relates to any of the grounds set out in regulation4, and

• (b) the VO considers it reasonable to provide the person with that information.

• (4) When providing the person with information under paragraph (3), if the VO is missing any factual information about the hereditament the VO may ask the person to provide the VO with the missing information.

• (5) The person must request or provide information under this regulation—

• (a) using the VO’s electronic portal, or

• (b) in another manner agreed with the VO.

Confirmation of accuracy of information

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• (1) On receiving information about the hereditament provided by the VO in response to a request under regulation 6(2), the person must—

• (a) if any of that information is inaccurate, provide the VO with the accurate information,

• (b) if the VO has asked the person under regulation 6(4) to provide the VO with any missing factual information, provide the VO with the missing information, and

• (c) confirm to the VO—

• (i) which of the information provided by the VO under regulation 6(3) is accurate, and

• (ii) that any information provided by the person under sub-paragraph (a) or (b) is accurate.

• (2) A confirmation and any information provided by a person under paragraph (1) must be provided—

• (a) using the VO’s electronic portal, or