BUSINESSES in Ryedale face a rateable value increase of about 30 per cent following new figures unveiled by the Government.

Denys Townsend, who owns Linton Pet Shop in Market Place, Malton, said his rateable value had risen from £10,000 to £13,000, while the Kings Head, also in Market Place, had increased from £9,400 to £12,100. The Talbot Hotel, in Yorkersgate, sees an 83 per cent increase from £75,000 to £137,000. In Norton, the library's rateable value increases from £7,500 to £10,750.

"This is a massive hike and will affect a lot of businesses," said Mr Townsend. "The new rates are due to come in from April next year so firms need to check their valuations now and take action if they feel they are excessive."

The rateable value of Castle Howard is set to rise by 24 per cent from £106,000 to £131,250, while the figure for Flamingo Land is set to soar by 37 per cent from £1,225,000 to £1,680,000.

A spokesman for Castle Howard said: “The figure is correct but it’s too early for us to comment further at the moment.”

Rateable value broadly represents the yearly rent - the rentable value - for which a business property could be let.

It is then combined with a “multiplier” - a figure set by the Government each year - to determine the final bill.

A transitional arrangement will help companies adapt, limiting the amount that bills can go up each year to provide a financial cushion. All businesses with a rateable value more than £12,000 have to pay rates, with some tapered relief for properties with a rateable value between £12,000 and £15,000.

A spokesman for the Valuation Office Agency (VOA) said the revaluation was normally carried out every five years, and took into account any changes in the rental market to maintain fairness in the system and did not raise extra revenue overall.

“Rateable values in the rating lists are used by councils to calculate business rates bills,” he said.

“We use a wide range of property information, including rental and other evidence to compare values across similar types of properties in order to set the rateable value. We published the draft valuations online six months before they come into force so businesses have time to plan for any changes.

“We use real evidence of actual rents paid on real properties, and have quality assured our work.

“We supplement the rental data we’ve received from ratepayers with quality-assured market knowledge reports collated by qualified chartered surveyors with knowledge and experience of the area or property type they were reporting on.”