ATMs Away From Banks To Incur Business Rates

alanq

It may soon become harder to find an ATM in remote locations and/or more costly to use one.

http://www.thisismoney.co.uk/money/markets/article-2508451/Bill-shock-cashpoints-supermarkets.html

opinions4u

It will lead to a number of things:

1) Removal of machines from certain locations.
2) Reduction of machines in certain locations, causing more queues.
3) Introduction of fees in some locations that are currently fee free.
4) Increase in fees in locations that currently charge a fee.

As ever, rural locations will probably suffer the most.

brendon

Why on earth do they have rateable value? It's my money!

opinions4u

brendon wrote: »

Why on earth do they have rateable value? It's my money!

ATMs are a commercial activity.

They tend to make money (or save money) for banks. They attract people to supermarkets. They encourage spending in pubs and clubs.

alanq

Making a Google search for ATM "business rates" I notice that in Scotland and Northern Ireland there are exemptions/reliefs for ATMs in approved rural locations. I haven't found similar for England & Wales.

http://www.scotland.gov.uk/Publications/2008/01/guide
http://www.nibusinessinfo.co.uk/content/help-available-business-rates

agrinnall

I may be wrong (and probably am) but I would have thought that a business's turnover should form part of the basis on which rateable value is calculated, and therefore the additional income/profit attributable to the ATM would already be factored in. If that's not the way it works then I'm sure the consequences given by o4u will indeed happen.

InsideInsurance

That would depend on the exact setup and commercial agreements. If you look at an ATM in a shopping centre the ATM owner normally leases their little slot and retains all their turnover from transaction fees and will normally have property insurance on it from the owner rather than being insured under the insurance of the owner of the building its being housed in.

Atidi

alanq wrote: »

It may soon become harder to find an ATM in remote locations and/or more costly to use one.

http://www.thisismoney.co.uk/money/markets/article-2508451/Bill-shock-cashpoints-supermarkets.html

The Valuation Office Agency, which assesses business rates, is sending backdated bills for rates on the machines in the next few weeks, after changing the way it calculates their rateable value...

It argues that the machine sites are under separate control from the supermarkets, so business rates are due. ...

The ATMs at my local Poundland and Nisa convenience store (both of which are free to use) are both located inside the shop. I don't see how it can be argued they are not under the control of that shop.

What next, separate business rates for their gas & electricity meters? Business rates for stall holders at a local market or boot fair? New business rates on taxi phones in supermarkets? Additional business rates on those leased fruit machines at the local chippie?

Anyway, if additional business rates are now applied, I think the ATMs will simply be taken away and they will tell customers that if they want cash, they will need to buy something and then they can have cashback (up to a maximum of £50) just like Aldi do today.

InsideInsurance

Atidi wrote: »

The ATMs at my local Poundland and Nisa convenience store (both of which are free to use) are both located inside the shop. I don't see how it can be argued they are not under the control of that shop.

As often, but not exclusively, they arent.

The bank/ owner still fills it up with cash, services it and derives a profit from it not the owner/ tenant of the building/ store it is co-located in. Supermarket ones in particular tend to be outside the premises and so don't even follow the operating hours of the store.