Council extends business rate relief scheme to nurseries in Leeds

Providing welcome news to nursery providers, facing rising costs and a downshift in demand post COVID-19, the changes will enable the council to support some of the 100 plus childcare nurseries in Leeds, with targeted targeted business rate relief.

Council support for the sector has been introduced following the withdrawal of statutory rate relief by the government in 2022, offering much needed breathing room for childcare providers in Leeds.

Nurseries will be able to apply for support once the council's successful business rate relief scheme reopens in October 2023.

Successful applicants receive up to £15,000 off their annual rate bills, providing recipients more scope for investing in innovation, research and development or allow them to ease growing pressure on operational costs.

The support is intended to allow firms to retain and create the kind of high-quality employment opportunities that underpin the council’s ambitions for inclusive growth.

For more details on the scheme visit: https://www.leeds.gov.uk/business-rates/relief-from-business-rates.

Councillor Jonathan Pryor, Leeds City Council’s executive member for economy, culture, and education, said:

“Childcare plays a crucial role across Leeds, not only in supporting children’s development but also by helping parents into employment or to continue their own education.

“I’m proud that as a council we are taking action, and stepping in to support childcare day nurseries. Many of these businesses are struggling with inflation and the increased financial pressure linked to the cost-of-living crisis.

“Extending this discretionary business rate relief scheme to childcare day nurseries will provide a welcome boost to the sector. “

-ENDS-

Note to editors.

Under the Local Government Finance Act 1992, a council cannot provide rates relief in respect of any property which is occupied by the authority. As such the relief does not extend to the council’s own in-house childcare nursery provider (Little Owls Nurseries).

Business Rates are subject to the National Rates Retention Scheme with any increase in the level of reliefs awarded funded 50/50 by the local authority and central government.