The national non-domestic rating system was introduced in 1990, to replace locally set general rates. This was accomplished by a revaluation of all non-domestic rates is paid into a national pool and redistributed between authorities in proportion to their adult population. This means that areas with relatively few businesses, or where property values are generally low, are not disadvantaged. All businesses benefit from the services that local authorities provide.
Some services are of direct benefit to business, for instance roads, the police and fire brigade.
Others, such as education and housing, are of indirect but nevertheless a real benefit. Rates are usually payable by the occupier of the non-domestic property. This will normally be either the owner-occupier or the leaseholder of the property. In general, business rates are payable on most commercial property, such as shops, offices, warehouses and factories. Self-catering accommodation, such as a holiday home is also liable to pay business rates, if you intend to make it available for commercial letting to short stay guests for 140 days or more in a year.