Section 14: Alterations to lists: matters not to be taken into account in valuation
Section 14 of the Act makes provision to ensure that matters concerning legislation and advice or guidance given by a public authority should not be taken into account when determining rateable values in England between revaluations.
	Rateable values are determined in line with rules in Schedule 6 to the 1988 Act. Broadly speaking the rateable value is the annual rental value of the hereditament. Schedule 6 to the 1988 Act provides for the rateable value, during the lifetime of a rating list, to be assessed by reference to two dates:
Paragraph 2(3)(b) of Schedule 6 to the 1988 Act gives the Secretary of State the power to specify a day – known as the valuation date – by reference to which the assessment of rateable value in a rating list is to be made. For the 2023 rating list, that day was specified as 1 April 20216. Therefore, rateable values in the 2023 rating list will be made by reference to valuations as at 1 April 2021.
Paragraph 2(6A) of Schedule 6 to the 1988 Act gives the Secretary of State powers to specify rules for determining the day – known as the material day - by reference to which certain matters are to be reflected. Those matters are listed in paragraph 2(7) of Schedule 6 to the 1988 Act and include matters such as those affecting the physical state of the hereditament or mode or category of occupation of the hereditament.
	Therefore, for example, rateable values in the 2023 rating list are to be made by reference to factors affecting valuations as at 1 April 2021 except for those matters listed in paragraph 2(7) of Schedule 6 which are reflected as at the material day. As a result, where one of the matters listed in paragraph 2(7) of Schedule 6 changes during the life of a rating list then the rateable value of existing hereditaments may need to be amended and that matter may need to be reflected in the rateable value of new hereditaments. A change in any matter not within the list in paragraph 2(7) of Schedule 6 should not lead to a change in an existing rateable value or be reflected in the rateable value of new hereditaments, before the next rating list is compiled.
	Section 14 provides that when an English list is being compiled by reference to a day specified under paragraph 2(3)(b) of Schedule 6 to the 1988 Act or subsequently altered, then determinations of rateable values should not take account of a subsequent change in a matter directly or indirectly attributable to the matters listed in the new paragraph 2ZA(2) of Schedule 6 inserted by section 14. Those matters are: legislation (such as the legislative aspects of the government’s Non-Pharmaceutical Interventions7 in relation to coronavirus); provisions made under or given effect by legislation (such as a statutory license regime); advice or guidance given by a public authority (such as guidance from the Health and Safety Executive in relation to social distancing); and anything done by a person with a view to compliance with these matters; but only so far as they concern:
The physical enjoyment of the hereditament (and not matters affecting the physical state of the hereditament).
Matters which, though not affecting the physical state of the locality are, nonetheless, physically manifest there.
The use or occupation of other premises in the locality.
	Therefore, the new provisions do not apply to matters affecting the physical state of the hereditament or the physical state of the locality. They also, under the new paragraph 2ZA(4) of Schedule 6 do not apply to matters concerning whether a hereditament is domestic or non-domestic or exempt. The new provisions will apply for a list compiled on or after 1 April 2023 but can still (under subsection (3) of Section 13) have effect in relation to a change in a matter prior to that date.