1. Introduction
This screening process involves scoping the policy under consideration. The purpose of policy scoping is to help prepare the background and context and set out the aims and objectives for the policy being screened. This will help identify potential constraints.
Regulation can be defined as: a rule or guidance with which failure to comply would result in the regulated entity or person coming into conflict with the law or being ineligible for continued funding, grants and other applied for schemes. This can be summarised as all measures with legal force imposed by central government and other schemes operated by central government.
The fundamental criteria is ‘will the policy have an impact (direct or indirect) on the wider business community?
2. Name of the policy
Removal of Industrial Derating
3. Brief Description of the policy
The policy would see the removal of the 70% derating allowance provided to eligible industrially distinguished hereditaments, known as “industrial derating”.
4. Aims of the policy/ Rationale behind the changes
Policy forms part of NIO’s suite of revenue raising measures in the context of the wider NI Budgetary situation.
5. Impact/ Outcomes of the Policy
The change would regularise the treatment of industrial properties with other non-domestic properties within the taxation regime.
6. Conclusion
Is the policy or amendment to the policy likely to have a direct or indirect impact on businesses?
- yes
Is the policy or amendment to the policy likely to have a direct or indirect impact on the voluntary / community sector?
- no
On the basis of the answers to the screening questions, I recommend that this policy / decision is –
Screened In – Although the measure does not impose regulation upon businesses, and has general application within the taxation regime, it will have a specific identifiable financial impact on businesses presently eligible for derating. A full RIA including an economic appraisal exercise should be conducted before any final decision is made.