We understand that councils are receiving less money from central government and they are seeking to raise money in other ways. This affects Scout groups in two main areas:
Increasing the rents we pay Scout groups that own their properties negotiate a lease with their council over a number of years. The payments for this lease are called ground rent. As these leases come up for renewal, some councils are opting to increase ground rent by many thousands of pounds.
Removing charity discretionary discounts - local taxes on property are called rates. Scout groups that own their properties are expected to pay these rates just as any business would. However, because Scout groups have charitable status, we receive a discount. This discount amounts to 80% of rates and is paid by central government. Councils can also pay the remaining 20% of the rates on behalf of local Scout groups this additional help is called a discretionary rate. Many councils are now removing the 20% discretionary rate to save money.
Increasing the rents we pay Scout groups that own their properties negotiate a lease with their council over a number of years. The payments for this lease are called ground rent. As these leases come up for renewal, some councils are opting to increase ground rent by many thousands of pounds.
Removing charity discretionary discounts - local taxes on property are called rates. Scout groups that own their properties are expected to pay these rates just as any business would. However, because Scout groups have charitable status, we receive a discount. This discount amounts to 80% of rates and is paid by central government. Councils can also pay the remaining 20% of the rates on behalf of local Scout groups this additional help is called a discretionary rate. Many councils are now removing the 20% discretionary rate to save money.