rate relief

Rate Relief

The ability of a price controlled company to increase the prices that it charges customers. Companies in some industries thought to be necessary for consumers, notably utilities, may be allowed to charge only certain prices, which may or may not give them a profit. If the prices are resulting in a loss, a company may apply to the government for rate relief. If rate relief is granted, it can cause a significant increase in its stock price.
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rate relief

An action taken to allow a regulated company, such as a utility, to charge higher rates (that is, the prices it charges its customers) so that it can generate greater revenues. Public utilities frequently seek rate relief by filing a request for rate increases with public regulatory bodies. The utility's success in obtaining rate relief has a very heavy impact on the value of its shares.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
References in periodicals archive ?
consulting on extending non-domestic rates relief to wholly-owned charities trading subsidiaries as they believe it 'runs counter to the spirit of rate relief legislation and is an unintended consequence of the charity trading subsidiary model'; and
Mr Cooke claims while he pays more than PS300 a month in rates a takeaway which is a "stone's throw" from his site pays nothing due to a lower rateable value and rate relief.
The Welsh Government has extended its high street rate relief scheme into a third year, and said eligible businesses don't actually have to be located on high streets this time round.
They want free town parking, a rates freeze, halt on bank and Post Office closures, and new rules on rate relief and appeals.
Renfrewshire businesses have saved more than PS153 million thanks to the Scottish Governments's rate relief scheme, new figures show.
So far the council has awarded a total of PS400,000 in rate relief to around 600 firms which have experienced hardship caused by the business rates changes.
Steve Double said many properties in Cornwall get registered as being for business use to enjoy the "benefits" of small business rate relief.
APERMANENT small business rate relief scheme will be introduced in Wales from next April, Finance Secretary Mark Drakeford has confirmed The scheme will limit the number of properties eligible for small business rate relief to two per business in each local authority, preventing larger businesses and national chains from benefiting from the scheme.
FINANCE Secretary Mark Drakeford has announced a permanent small business rate relief scheme will be introduced in Wales from next April.
They are: Small Business Rate Relief, Retail Relief, Business Rates Reoccupation Relief, all from Government, and Empty Shop Refit Scheme, a Middlesbrough Council grant, which will give businesses that move into an empty town centre unit, in one of the eligible areas, the opportunity to apply for up to a maximum of PS5,000 for assistance with the purchase of fixtures and fittings, and security, signs and refurbishment costs.
Mr Gyimah announced that he has asked the Department for Communities and Local Government to write to English councils urging them to offer business rate relief to nurseries and pledging that the Government will meet 50% of the costs to councils as a result.