Today I inadvertently discovered something that answers questions that
I have never dared to ask!!!
Is a small scale commercial cidermaking subject to business rates? Do
I need to apply for change of use for the barn I use for cidermaking?
The key to these questions is whether cidermaking is an agricultural
activity. Agriculture is exempt from business rates. I have never
applied for change of use for the barn. It used to house livestock, so
is still nominally 'agricultural'. If cidermaking is agricultural,
then I should be in the clear.
This morning I was in Dorchester to speak in support of a local
cidermaking family at their planning appeal. The need arose during the
course of the meeting to define the commercial status of cidermaking.
It transpired that the subject had become a 'cause celebre' in 1999 in
what was known as the Millington Case, where a High Court judgement
against a farmer in favour of Shrewsbury Council was overturned by the
Court of Appeal.
The Millington Case concerned a farmer who had planted vines on one
third of his farm. Wine was produced and sold from the farm. The case
had enforced a change of use, on the grounds that the sale of wine and
light refreshments by fee paying members of the public was material.
However, The Court of Appeal stated that the correct approach was to
consider the activities of the appellant and whether they were
incidental to the growing of grapes, ancillary to normal farming
activities and reasonably necessary to make the product marketable. It
was held that the production of wine or cider on the scale of the
appellant's business was found to be perfectly normal.
The appeal decision has shown that where farm processing is not on a
large scale it could be considered ancillary to agriculture.
Further to this, it would also appear that if you have a farm shop
selling only the cider made on your farm, it too would qualify as
'ancillary to agriculture'.
Interesting, isn't it?
I'm breathing a little easier today!
Rose
>
> The appeal decision has shown that where farm processing is not on a
> large scale it could be considered ancillary to agriculture.
>
> Further to this, it would also appear that if you have a farm shop
> selling only the cider made on your farm, it too would qualify as
> 'ancillary to agriculture'.
>
> Interesting, isn't it?
>
> I'm breathing a little easier today!
Very interesting Rose. I wonder if this could also be seen in the
context of the 70 hL HMRC exemption too. For those under that limit the
business is clearly ancillary since it was always intended that such a
level of activity could not form the basis of a viable living on its
own. But once over the limit, other considerations might come into play
if the business made enough money to pay a genuine living wage to someone?
Andrew
--
Wittenham Hill Cider Page
http://www.cider.org.uk
I'll ask the wife if she can find out any more from her work at HMRC...
BTW: Some of my neighbours have complained to the council that I should be
subject to Business Rates due to the fact that I am operating a "business"
from my home...
It must be all of the 32-tonners delivering apples everyday and the
bulk-tankers arriving thrice daily to take away the cider... :-)
Don't you just love them!
Ray
http://hucknallciderco.blogspot.com/
http://torkardcider.moonfruit.com/
On Feb 17, 5:01 pm, "skidbrookecy...@tiscali.co.uk"
> Rose- Hide quoted text -
>
> - Show quoted text -
Sorry if that sounded sceptical, but seeing the ongoing push to have horse
riders and dog walkers controlled and all the lay-by's removed to stop
people from... well, stopping is a terrible thing for all - especially
people who actually live and work in the area.
My parents belong to something called the 'New Forest Marque', designed to
promote products made within the forest (like their Ling heather honey)...
it was a really good idea but now seems no more than a few people who like
the idea as opposed to a serious effort to encourage New Forest produce
(though I am sure you are more familiar with this than I am Barry).
But I think that is getting off the main point!
Jez
I think you have just illustrated the main thrust of the Millington
argument. Your local winemaker was in fact running a farm shop selling
a variety of bought in products. Farm shops are liable to business
rates ( one near here that sells my cider told me how crippling the
payments are!). The important thing highlighted by the Millington
appeal was that selling wine or cider, made from your own grapes or
apples, from your own premises, was deemed to be 'ancillary to
agriculture'. The Shrewsbury Council had thought otherwise and won the
support of the High Court, but the judgment was overruled by the Court
of Appeal.
If Guy is only selling his own cider made from the apples grown on his
farm, then that same ruling must apply. The Millington Appeal has
established a precedent, that unless repealed, has become the Law of
the Land. All county councils in England must therefore comply. Of
course, I'm no expert but I do think it would be worthwhile for Guy to
talk to a solicitor about it. It may be that he is in a strong
position to take that unpleasant and threatening council to task, with
very little risk of losing the argument.
Rose
> > > - Show quoted text -- Hide quoted text -
PLANNING PERMISSION....
In Ireland, agricultural buildings are exempt from planning permission
provided certain conditions eg. size, distance from road etc are satisfied.
Please tell me, do you have something similar over there, and what I'm
particularly wondering, if so, then can a building used to process a farm's
own produce into cider or apple juice, be classed as exempt because these
activities are 'ancillary to agriculture'???
David L.
PLANNING PERMISSION....
David L.
Not relevant to your scale of operation David, but perhaps instructive for the smaller-scale cidermakers on here:
When we visited the local council office for a chat with EH and to register as a food business, we were also collared by the planning office. After explaining what we were planning to do, the officer cleverly steered our conversation in such a way that, without actaully saying it himself, we told him what he wanted to hear. Which was, that our cidermaking was a 'Hobby', and that sales were an integral part of that 'Hobby', not a fully fledged business as such, and therefore there were no planning issues.
As with so much involving local authorities, whether this applies to all planning offices is anyones guess.
Please tell me, do you have something similar over there,
We used to have no PP for barns and agricultural buildings but it was
tightened up a few years ago :(
>As with so much involving local authorities, whether this applies to all
>planning offices is anyones guess.
I'm guessing it would be a matter of interpretation. Some planning
authorities are worse than others, often it seems to depend on how and if
your neighbours push the point IMHO !
Mel
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Mark Shirley wrote:
"Not relevant to your scale of operation David, but perhaps instructive for
the smaller-scale cidermakers on here......."
The main frame of the barn was made of secondhand telegraph poles.
These had simply been put into holes in the ground about 2 ft deep.
I did nor relish the thought of council building inspectors arriving
to see the non existent foundations!
Rose
The way things are getting these days reminds me of 'Dad's Army'.
"Permission to speak, Sir?"
Rose
Polytunnels are a tricky question. When I anonymously enquired before I
put mine up, I was told "planning consent is not required as long as the
tunnel is smaller than <some size> and within the domestic curtilage of
the property", so I got mine set up pretty sharpish in what used to be
the veggie plot (before I moved that elsewhere) and waited to have to
argue the point (we've had complaints about lack of planning consent
before, when we had a relatively small extension build that was really
nothing to do with anyone). Being no more than a few yards from the
original "two-holer" I'd dare anyone to suggest the area wasn't
"domestic" :)
Permitted development rights were greatly relaxed in 2008 or 2009 for
domestic property and that may mean you'd have no problems with one now
as long as you didn't cover more than 50% of the land area of the
property.
On non-domestic land however I think the outcry over polytunnels a few
years back means that planning consent will pretty much always be
required.
In other news, I had a crab apple, two Ashmead's Kernel and two Blenheim
Orange arrive yesterday from Ashridge. They phoned and were very
apologetic that they couldn't supply the Kingston Black I'd ordered as
they were unhappy with the quality of the trees. This morning, it has
snowed :(
James
"It may also be of interest that poly tunnels also need planning
permission!"
Sheesh! We have already cleared the ground to put up a poly-tunnel behind
our new cider-shed on our plot... We were told that we didn't need any
permission to put up the shed (concrete section on concrete raft) but I am
not so sure now. I hope that this requirement for poly-tunnels doesn't apply
to urban-ish areas like ours - I am fed up with the council snooping their
noses into every little thing I do at the moment, never mind inspecting our
plans for a little poly-tunnel to grow a few veg in.
> In other news, I had a crab apple, two Ashmead's Kernel and two Blenheim
> Orange arrive yesterday from Ashridge. They phoned and were very
> apologetic that they couldn't supply the Kingston Black I'd ordered as
> they were unhappy with the quality of the trees.
Interesting. I received a phone call from Ashridge a couple of weeks ago
saying that they could not supply my 6 x Sweet Alfords due to a "packaging
error", even though they'd been on order for the best part of a year.
Probably fell into permitted development
>I hope that this requirement for poly-tunnels doesn't apply
to urban-ish areas like ours - I am fed up with the council snooping their
noses into every little thing I do at the moment, never mind inspecting our
plans for a little poly-tunnel to grow a few veg in.
You could always put it up, and if you get a problem apply for retrospective
planning permission, appeal, argue generally make a fuss. Where there is a
will there is usually a way. Take a picture with date of anything you put
up.