Grounds for concern as rateable value soars at Spotland

Business rates at Spotland will soar in April next year.

Rochdale Football Club could be hit hard as they seek to cover a massive rise in the rateable value on Spotland Stadium.

After a revaluation exercise by the taxman, the rateable value on the ground has risen by £42,000 to £87,000, leaving Spotland chiefs to foot a provisional business rates bill of £36,279, up £14,454 on the £21,825 they pay currently.

When compared with local grounds of a similar size; Oldham Athletic will see a small rise in rates from £25,947 to £28,372, with their rateable value having gone up by just £5,000 to £58,500. Bury must pay an estimated £21,892 in business rates, with the rateable value on their ground having gone from £40,000 to £52,500.

The club has the right to appeal the revaluation.

Business rates are the commercial equivalent of council tax. And Shadow Communities Minister Justine Greening fears fans might end up footing the bill.

She said: “Even football, our national sport, is not safe from Gordon Brown’s tax rises.

“If clubs pass on these extra costs, it could mean even higher ticket prices for fans. I’m sure many will think it is time to show this government the red card.”

A Communities and Local Government spokesman said: “Football grounds are not treated any differently than any other business property and are liable for rates based on their rental value not sporting success — many will actually see rates come down."

Rochdale MP Paul Rowen expects the changes in rateable values to hit local businesses hard and that the Government will face having to deal with a huge number of appeals from companies across the country.

“The 2010 business revaluation is based on market values from April 2008," he said. “Re-evaluation of Business Rates has hit businesses in the Borough hard. The fact that they basing their recalculations on market values in 2008 means that we are seeing more and more appeals. 

"The fact is that because of the recession, rateable values have gone down significantly. More and more businesses are winning their cases, but the backlog is huge and it is clear that more resources are needed to deal with them. Using current resources – businesses have to wait until late in 2010 to have their case heard. I say that is unacceptable – businesses should be entitled to a rebate and it’s critical that this is sorted as soon as possible.

“I have been dealing with a number of major businesses in Rochdale on this issue. They feel, quite correctly that they are being ripped off by the Government. You have the crazy situation that Spotland Stadium has seen a rise of £32,000 putting intolerable strain on our sport’s clubs. They shouldn’t have to wait over a year for a rebate. That is why extra resources are needed now.”

“30% of businesses in Rochdale are affected and in this current climate it is not acceptable."