Business Rate Demands – Advice to Licensees

The Hayling Island Beach Hut Association (HIBHA) is aware that some beach hut licencees have recently received non-domestic (business) rate demands.

We understand that receiving such a demand can be concerning. For clarity, business rates are assessed nationally by the Valuation Office Agency (VOA), while the local authority administers billing and collection.

To assist licencees, we are sharing an example of recent correspondence and the outcome.

Example Correspondence

Initial Email to the Council

“Please note that our beach hut is exempt from business tax. This appears to be an error.

Our beach hut licence prohibits any business use. It is solely a beach hut on the beach, and we do not operate any business individually or jointly.

Please review and amend the invoice accordingly.

Yours faithfully”

Council Response

“All properties in the UK are assessed as either Council Tax or Non-Domestic Rates. As beach huts cannot be lived in, they fall under non-domestic rates.

Relief may be available. Please confirm whether you occupy any other business property so this can be considered.”

Follow-Up Confirmation

“I confirm that neither I nor my joint licence holder occupy any other business property.
Please apply any eligible relief to the account.

Kind regards”

Following confirmation, Small Business Rate Relief was applied.

HIBHA Advice to Licencees

If you receive a business rate demand:

• Do not ignore it – there are time limits for response.

• Check that the demand relates to your hut.

• If no licence holder occupies any other business property, you may qualify for Small Business Rate Relief.

• Email the Business Rates team promptly to confirm your circumstances.

Business Rates contact email:
havant.businessrates@secure.capita.co.uk
(We recommend using email rather than the premium rate telephone number shown on the letter.)

When contacting the Council, include:

• Beach hut number and location

• Confirmation that your licence prohibits business use

• Confirmation that no licence holder or joint owner occupies any other business property

• A request for Small Business Rate Relief to be applied (if eligible)

HIBHA suggests using the follow-up email above as a simple template and adapting it to your own circumstances.

Please keep copies of all correspondence and inform HIBHA if you receive a demand so we can monitor consistency and impact across members.

Hayling Island Beach Hut Association (HIBHA)
Supporting beach hut users across Hayling Island.