A golf consultancy has warned that English golf clubs are set for a huge rise in business rates in April.
Smith Leisure says that several venues should expect their rates to more than double, and some will see even bigger increases.
Business rates a golf club pays are calculated by a number of details, including the estimated annual rent the property could have been let for on the open market, which takes into account factors such as location and trading performance. This determines its rateable value and a variable multiplier is then applied.
For example, one golf hotel in south east England’s rateable value was £235,000 in 2023. However, this will go up to £625,000 this year. An 18-hole golf course with a driving range in south west England’s rateable value in 2023 was £40,000 but will be £98,000 from this year. One driving range in the south west will see its rateable value increase by more than 600 percent this year to nearly £100,000.
The UK Golf Federation (UKGF) is campaigning that the golf industry is heard by the government – whether independently via the UKGF or through other channels such as through The R&A and / or the Golf All Party Parliamentary Group.
The UKGF is concerned that in the government’s announcement on business rate relief on January 27 for pubs and live music venues, who will receive additional support, there was no help for leisure or sport facilities including golf, with many venues under equally severe financial pressure and left exposed to significant increases.
Doug Poole, CEO of UKGF, said: “We are all trying to grow golf participation, but someone will have to pay for these increases, and it will ultimately be the golfer. I understand there is very little we can do regarding the increases, except keep pushing government on behalf of the golf industry to the damage the new business rates can have on golf and the benefits of participation.
“I hope sharing my members’ views and interests could widen the opportunity for golf facilities to represent the government and hopefully achieve a rethink and some relief and financial support.”
