Business Rates: Tax Allowances
The question
To ask the Secretary of State for Housing, Communities and Local Government, whether the Government is taking steps to monitor fraud under the Retail, Hospitality and Leisure business rate relief scheme, in the context of businesses falsely claiming a discount when they would otherwise be subject to the £110,000 cap.
Answered by Alison McGovern
Business rates are administered by local government, and it is for local authorities to determine eligibility for reliefs, having regard to guidance issued by the government.
The government will not tolerate any business falsifying their records or providing false evidence to gain relief, including claiming support above the cash cap. As set out in the Retail, Hospitality and Leisure Relief guidance (Business Rates Relief: 2025/26 Retail, Hospitality and Leisure Scheme - GOV.UK) ratepayers cannot exceed the £110,000 cash cap across their properties. Any ratepayer who falsely applies for any relief, provides false information or makes false representation in order to gain relief may be guilty of fraud under the Fraud Act 2006 and may be subject to a fine, imprisonment, or both.
The government remains committed to taking the necessary action to tackle business rates avoidance and evasion over the course of this Parliament.
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