§ Mrs. Knightasked the Secretary of State for the Environment (1) why it is necessary to include the following question in the rating questionnaire for tenants of business property: "Can the lease be terminated by either the landlord 331W or the tenant? If yes, when and in what circumstances?";
(2) why it is necessary to include the following question in the rating questionnaire for tenants of business property: "Does the lease or agreement contain any special conditions? If yes, give details";
(3) why it is necessary to include the following question in the rating questionnaire for tenants of business property: "Did the occupier pay additional money as a premium to the landlord for the granting of the lease or agreement? If yes, state the amount";
(4) why it is necessary to include the following question in the rating questionnaire for tenants of business property: "Did the occupier purchase the lease or agreement? If yes, give the amount of consideration paid";
(5) why it is necessary to include the following question in the rating questionnaire for tenants of business property: "Did the consideration include a sum for goodwill, fixtures and fittings? If yes, state the amount paid for each item … and the date of payment.";
(6) why it is necessary to include the following question in the rating questionnaire for tenants of business property: "Was a former lease or agreement surrendered as a condition of the granting of the present lease or agreement? If yes, state the amount of rent payable under the surrendered lease or agreement, per annum, and term unexpired at date of surrender … years";
(7) why it is necessary to include the following question in the rating questionnaire for tenants of business property: "Is the present lease or agreement a renewal of a former tenancy held by the present occupier? If yes, state the amount of the new rent which was determined by the county court under the Landlord and Tenant Act. At the time the rent was agreed by landlord and tenant or determined by order of the county court, what alterations, additions or improvements, if any, were disregarded?".
§ Mr. Robert SheldonI have been asked to reply. Valuation for rating is based on the annual rent at which a property might reasonably be expected to let, making certain assumptions about who is responsible for such outgoing as rates332W and taxes and the cost of repairs, insurance etc. In order to arrive at a correct assessment on this basis the rent actually paid under a lease may need to be adjusted to take account of particular terms in the lease and the circumstances under which it was granted. The questions in the return to which the hon. Lady refers are designed to assist the valuation office in deciding whether such adjustments are necessary.