Rising Business Rates: A Growing Concern for Community Sports Clubs

Over the past few months, I’ve been approached by several sports clubs – including municipal and members’ clubs – who are facing significant increases in their business rates (non-domestic rates). From golf clubs across the country to smaller volunteer-led organisations, it’s clear this is becoming a widespread concern with serious implications for the financial health of grassroots sport.

What’s causing the increase?

The main driver has been the 2023 non-domestic rates revaluation in Scotland – the first since 2017. This saw all properties revalued based on rental values as of April 2022. For many sports clubs, especially those operating on larger sites like golf courses, the outcome has been a substantial increase in rateable value (RV) – and in turn, their annual rates bill.

At the same time, the “poundage rate” (the multiplier applied to RV to calculate rates) has also increased, with properties over £100,000 RV now subject to a higher band of 56.8p in the £. Even with transitional relief capping annual increases to a degree, some clubs are reporting jumps in cost that will seriously impact their ability to operate and invest in their facilities.

What can clubs do?

While every case is different, there are several actions clubs can consider if they’ve been affected:

1. Check Your Rateable Value

Visit the Scottish Assessors Association website to confirm your current RV. If you believe it is unfair or inaccurate, you can still appeal, although this process can be complex and time-limited depending on when you received your rates notice.

2. Review Who Is Liable

In some cases – especially with municipal facilities – it may not be immediately clear whether the club or the local authority/management body is responsible for the business rates. This should be clarified before submitting appeals or relief applications.

3. Maximise Reliefs

There are two main types of relief that can significantly reduce your bill:

1. Mandatory Relief (up to 80%): Available to clubs that are registered as a Community Amateur Sports Club (CASC) or as a charity (e.g., SCIO).

2. Discretionary Relief: Local councils can top up mandatory relief or offer support to other clubs at their discretion. However, this is often subject to financial need and community benefit criteria.

4. Consider CASC or SCIO Status

If your club is currently unincorporated, registering as a CASC (via HMRC) or becoming a SCIO (via OSCR) can unlock automatic access to 80% mandatory relief. This doesn’t just reduce business rates – it also strengthens your position when seeking funding or engaging with local authorities.

5. Communicate with Your Local Authority

If you haven’t already, open a dialogue with your local council’s Revenues or Non-Domestic Rates team. Many clubs have found success in negotiating or clarifying reliefs once they’ve provided evidence of their community impact, open access policies, and future plans (e.g. clubhouse renovations).

6. Seek Support

You don’t have to face this alone. Whether it’s advice on incorporation, preparing an appeal, or putting together a case for discretionary relief, there are organisations and professionals – including myself – who can help clubs through this process.

For many clubs, business rates used to be a manageable or even negligible cost. That’s changing – and for some, it may feel like a tipping point. But by taking proactive steps, understanding your entitlements, and strengthening your organisational structure, you can minimise the impact and continue to serve your community through sport.

If your club is facing similar challenges, feel free to get in touch – I’d be happy to offer guidance or support where I can.