Please read this note before completing and submitting your NNDR1

1. The National Non-Domestic Rates Provisional Return (NNDR1) 2025-26 is designed to calculate and report your authority’s calculation of the estimated amount of non-domestic rates it will collect in 2025-26. On receipt of your form, we carry out a number of checks to satisfy ourselves that the form has been completed correctly. Where the data vary significantly from that provided on your NNDR1 for 2024-25, we seek an explanation for the variance. The main validation checks are contained in the sheets named ‘Main validation’ and ‘Supplementary validation’. The Department will always contact the named local authority contact to resolve an error or seek an explanation for any entries that fail our validation checks and no response has been provided.

2. It would be helpful if those that are completing the form can ensure that the information is checked against the following notes and, where necessary, provide an explanation for data that have failed our validation checks when the form is submitted to us. Please do not overwrite formula in order to resolve issues.

NNDR1 form

3. Please note that a number of checks and calculations are built into the NNDR1 form itself.  There are also a number of warnings that will appear if results appear to be incorrect. The form provides space on the validation sheet for authorities to comment on any data that fail the validation checks but are genuine, plus there is a general comments box at the bottom of the validation sheet.

4. Details of the checks that are incorporated in the NNDR1 form are set out below. Please note that, while we have tried to incorporate most of the checks into the validation sheet, we may need to contact local authorities for additional information following validation carried out after the data enters our database.

5. The Excel copy of the NNDR1 form should be returned to the Department by 31 January 2025. It is important that this deadline is adhered to as we need to ensure the data are validated and passed on quickly to the team within MHCLG that arrange the schedules of payments between yourself and the department.

6. The Excel copy of the NNDR1 form should be sent by the Chief Financial or Section 151 officer with their e-signature and a confirmation they are happy with the figures in the form. This should also be submitted to the Department by 31 January 2025.

7. If you become aware of an exceptional circumstance which prevents you from meeting this deadline, please contact us at nndr.statistics@communities.gov.uk.

General

8. A number of validations have also been included on the NNDR1 form in an attempt to prevent invalid or implausible values. If one of these occurs a message will appear either to ask for an explanation or asking that the entry is reviewed. Explanations should be sufficiently detailed to aid our understanding of the difference. Explanations such as ‘It’s OK/correct’, ‘Revaluation’ or ‘None’ will be followed up with a request to provide more detail.

9. Please follow any instructions to ensure the correct data entry. The forms have been protected to prevent incorrect data entry; please do not unprotect the worksheet as this will cause additional work for both us and you. Please contact us at nndr.statistics@communities.gov.uk if you believe that there is an error in your form.

10. Please ensure any data upload software you use adheres to the data entry rules (positive or negative as appropriate and always in whole £) in the correct cells; again failure to do so may cause additional validation work.

Arithmetic calculations and rounding

11. All data should be entered in whole pounds.  Where possible calculations have been set to calculate to whole pounds.

12. Before returning the form, please ensure that all arithmetic calculations are correct. If you believe any of the calculations are not correct please contact us immediately; do not try and amend the form yourself.

Main validation tests

Test 1: Compares the total rateable value recorded in Part 2 Line 1 with VOA data from 3 October 2024.

Tests 2-8: Compares the total cost of various mandatory reliefs recorded in Part 2 with the equivalent data from the 2024-25 NNDR1.

Tests 9-16: Compares the total cost of various discretionary reliefs recorded in Part 2 with the equivalent data from the 2024-25 NNDR1.

Test 17: Compares the total net rates payable recorded in Part 2 Line 43 with the equivalent data from the 2024-25 NNDR1.

Test 18: Compares the total estimated repayments (appeals provision) recorded in Part 3 Line 3 with the equivalent data from the 2024-25 NNDR1.

Test 19: Checks that the value of the surplus / deficit on collection fund in respect of 2024-25 recorded in Part 4 Line 20 does not equal zero.

Test 20: Checks whether the collection fund opening balance in Part 4 Line 1a has been adjusted using Part 1 Line 1b. Note: The opening balance shown in Line 1a has been pre-populated with the closing balance in your NNDR3 2023-24, so it may be valid to adjust it via Line 1b if there has been a change to the collection fund balance following a completed audit. If so, please make sure that a revised 2023-24 NNDR3 has also been submitted.

Test 21: Checks whether the other rates retention scheme charges entered on Part 4 Lines 13, 14, 15 and 16 have been overwritten. Note: These cells have been pre-populated with their corresponding values from the NNDR1 2024-25 form. We would not expect this to change and would need an explanation if this has done so.

Test 22: Compares the percentage of rateable value (Part 2 Line 1 Column 7) that is regarding businesses on the standard multiplier (Part 2 Line 1 Column 6) with the equivalent data from the 2024-25 NNDR1.

Supplementary validation

Test 1-6: Compares the number of hereditaments being granted various mandatory reliefs recorded in Supplementary Information with the equivalent data from the 2024-25 NNDR1.

Tests 7-13: Compares the number of hereditaments being granted various discretionary reliefs recorded in Supplementary Information with the equivalent data from the 2024-25 NNDR1.

Tests 14-18: Compares the number of hereditaments being granted or contributing to small business rates reliefs (SBRR) recorded in Supplementary Information with the equivalent data from the 2024-25 NNDR1.

Test 19: Checks whether the sum of the number of hereditaments contributing to the SBRR, number of hereditaments getting a SBRR discount and the number of hereditaments getting a lower multiplier is different to the total number of hereditaments on the VOA draft list as at 3 October 2024 by more than +/- 25 and +/-10%.

Tests 20-24: Compares the amounts of empty property relief being granted in different kinds of hereditaments recorded in Supplementary Information Part 2 with the equivalent data from the 2024-25 NNDR1.