THIS month it’s a matter of tackling some grave challenges facing our industry, so BHS Scotland has its serious head on.

Many of our Scottish equestrian businesses are reeling from proposed large rises in their rates bills with some being pushed above the threshold of small business rates relief and some even being pushed so hard they are threatening closure.

Our analysis of more than 250 equestrian premises shows that the proposed average increase in rateable value for riding schools and livery yards in Scotland is 55%, with some yards facing hikes of more than 150%.

We are questioning this increase and have been fortunate to enlist the help of Niall Milner, from Davidson and Robertson Rural property consultants and chartered surveyors, who has been offering us advice and has helped us draw up an advice note for businesses.

Fundamentally, the rateable value is derived from the hypothetical rent that could be charged to a hypothetical tenant to operate the premises.

Our members feel the rateable values being suggested often have no basis in reality when the proposed rateable value and resultant rates bill is at risk of putting some members out of business.

If the rates bill (which is 46.6% of the rateable value) is at risk of bankrupting businesses, then we would question if the fundamental valuation methodology for equestrian properties is correct. No one would agree to a rent they couldn’t afford to pay?

One aspect that we feel worth challenging is the way equestrian facilities are valuated. Which, according to the Scottish Assessors Association ‘Practice note for the valuation of riding schools, livery stables, equestrian centres and other quasi agricultural subjects’ uses the contractors test, rather than a profits or comparable basis.

Effectively, equestrian properties are valued on the cost of construction and seeking payback over a period of time.

We would question the suitability of this method when the market value of an equestrian property when presented for sale is normally below the cost of construction?

Again, the market assesses what the property can earn to derive price, not what it cost. If our industry does not challenge this apparent anomaly now it will continue to dog us in the future.

Along with other equine welfare partners (WHW, Donkey Sanctuary, Scottish SPCA and Scottish Government) BHS is organising the annual April Equine Welfare Conference – on Friday, April 28, 2017, at Howe Equestrian Centre, in Fife.

This day-long event, chaired by our BHS Scotland chairman, Professor Derek Knottenbelt, will highlight the most immediate challenges and initiatives the Scottish industry deals with as we work to improve the lives of all our equines, from donkeys to the heavies.

All are welcome and this event is CPD for local authority enforcers. We are using the ‘One health’ principle, which recognises that the health of people is connected to the health of animals and the environment, as a new aspect on the biosecurity issue.

There will be a session on enforcement from Scottish SPCA on how equines use shelter, on donkey care and a view of ‘where the equine industry is at’ through the eyes of our Chief Veterinary Officer, Sheila Voas.

The main risk of Brexit, as far as I can see, is that the animal health and welfare division of Scottish Government will be overburdened by the Great Repeal Bill, making much European welfare legislation domestic in order to maintain standards of health and welfare. This, in turn, will protect our precious trade in animals.

Meanwhile, we are all waiting for enforceable equine ID regulations tied to a correct and interactive database, and whether this will be on a Scottish or UK basis, so that we can link horses and ponies with owners and places of residence.

It all could be a terrible worry if it were not for the fact that we have brilliant partners and lots of energy as we contend with real life!