For self-catering holiday accommodation we work out the rateable value based on the number of single bed spaces in the property.

The rateable value is our assessment of the annual rent a business property could be let for on the valuation date. For properties like shops, offices or warehouses we can analyse actual annual rents to reach a rateable value.

For self-catering holiday accommodation – such as holiday cottages or apartments – annual rental evidence isn′t normally available so we apply a price per bed space on each individual property, based on its type, size and location, to produce its rateable value.

How do we work out the price per bed space?

The price per single bed space is worked out by looking at the profitability levels of a range of self-catering holiday properties. We look at the total income (excluding VAT) a typical property generated and then deduct the associated costs such as:

• Maintenance for the property and garden
• Water rates
• TV licenses
• Depreciation of fixtures.

Our calculation does not include the cost of any loan or mortgage used to buy the property.

When does a property qualify as self-catering holiday accommodation?

If your property is available for let for 140 days or more a year, it will be rated as a self-catering property.