Independent hoteliers could be entitled to ten of thousands of pounds’ worth of rebates on their business rates bills, new research by rates specialist CVS has revealed.
Citing declining revenues brought on competition with budget chains and the lingering effects of the last recession, some hotels have received rates reductions of up to £90,000 after appealing to the Valuation Office Agency.
“A perfect storm is brewing for independent hotels as a result of declining guest numbers and increasing competition from budget chain hotels,” confirmed Don Baker, national head of rating at CVS. “Both have had a major impact on independent hotel revenues in many towns, and the result is that many hotels are simply paying too much in business rates.
“Appealing business rates is often the most effective way of ensuring that a hotel business is paying the right amount in rates, and the fact we are achieving up to six-figure business rate reductions on appeals for many of our hotel clients shows how far the Valuation Office Agency’s trade projections are from today’s reality.”