HC Deb 25 June 1974 vol 875 cc1297-9

Reduction of Rateable Value in case of certain improvements

1.—(1) Where the tenant, or any previous tenant, has made or contributed to the cost of an improvement on the premises comprised in the tenancy and the improvement is one to which this Schedule applies, then, if the tenant serves on the landlord a notice in the prescribed form requiring him to agree to a reduction under this Schedule, their rateable value as ascertained for the purposes of subsection (1) of section one of this Act shall be reduced by such amount, if any, as may be agreed or determined in accordance with the following provisions of this Schedule.

(2) This Schedule applies to any improvement made by the execution of works amounting to structural alteration, extension or addition.

2.—(1) The amount of any such reduction may at any time be agreed in writing between the landlord and the tenant.

(2) Where, at the expiration of a period of paragraph 1 of this Schedule, any of the following matters has not ben agreed in writing between the landlord and the tenant, that is to say,—

  1. (a) whether the improvement specified in the notice is an improvement to which this Schedule applies;
  2. (b) what works were involved in it;
  3. (c) whether the tenant or a previous tenant under the tenancy has made it or contributed to its cost; and
  4. (d) what proportion his contribution, if any, bears to the whole cost;
the county court may on the application of the tenant determine that matter, and any such determination shall be final and conclusive.

(3) An application under the last foregoing sub-paragraph must be made within six weeks from the expiration of the period mentioned therein or such longer time as the court may allow.

3.—(1) Where, after the service of a notice under paragraph 1 of this Schedule, it is agreed in writing between the landlord and the tenant or determined by the county court—

  1. (a) that the improvement specified in the notice is one to which this Schedule applies, and what works were involved in it; and
  2. (b) that the tenant or a previous tenant under the tenancy has made it or contributed 1298 to its cost, and, in the latter case, what proportion his contribution bears to the whole cost,
then if, at the expiration of a period of two weeks from the agreement or determination, it has not been agreed in writing between the landlord and the tenant whether any or what reduction is to be made under this Schedule, and the tenant, within four weeks from the expiration of that period, makes an application to the valuation officer for a certificate under the next following sub-paragraph, that question shall be determined in accordance with the certificate unless the landlord and the tenant otherwise agree in writing.

(2) On any such application the valuation officer shall certify—

  1. (a) whether or not the improvement has affected the rateable value on the first day of April, nineteen hundred and seventy-three (as ascertained for the purposes of subsection (1) of section one of this Act), of the hereditament of which the premises consist or, as the case may be, in which they are wholly or partly comprised, and
  2. (b) if it has, the amount by which the rateable value would have been less if the improvement had not been made.

(3) An application for such a certificate shall be in the prescribed form and shall state the name and address of the landlord, and the valuation officer shall send a copy of the certificate to the landlord.

(4) Where the amount of the reduction under this Schedule falls to be determined in accordance with such a certificate, it shall be equal to the amount specified in pursuance of head (b) of sub-paragraph (2) of this paragraph, but proportionately reduced in any case where a proportion only of the cost was contributed by the tenant or a previous tenant under the tenancy.

(5) Where at the time of an application for a certificate under this paragraph a proposal for an alteration in the valuation list relating to the hereditament is pending and the alteration would have effect from a date earlier than the second day of April, nineteen hundred and seventy-three, the valuation officer shall not issue the certificate until the proposal is settled.

FORM

Leasehold Reform Act 1967

Notice by Tenant to Landlord of Tenants' Improvements affecting Rateable Value

Date……………

To……………, landlord of……………

1. (1) (A previous tenant of the above-mentioned premises under the tenancy) (made) (contributed to the cost of) the improvement(s) to the above mentioned premises particulars of which are set out in the First Schedule hereto (Note 1).

2. I hereby require you to agree to a reduction in the rateable value of the premises for the purposes of the Leasehold Reform Act, 1967.

3. I propose that the rateable value shall be reduced to £ (Note 2).

4. If you do not agree to this reduction (Note 3), do you agree that—

  1. (a) the improvement(s) (is) (are) (an) improvement(s) made by the execution of works amounting to the structural alteration or extension of the premises or a structural addition thereto;
  2. (b) the works set out in the Second Schedule hereto were involved in the making of the improvement(s);
  3. (c) (I) (A previous tenant under the tenancy) (made the improvement(s)) (contributed to the cost of the improvement(s);)
  4. (d) the proportion of the cost borne by me or a previous tenant is ).

Signature of tenant……………