Fact sheet 4 - How to maximise your Notional Rent
Updated: Nov 19, 2019
What is a Notional Rent?
“Notional Rent”, which is also known as “Current Market Rent” is the system of reimbursement that a practice receives from the NHS when a GP Contractor owns the property from which they provide GP services.
The aim of Notional Rent is to provide the Practice with a fair “Market Rent” for their surgery (limited to the parts of the property approved for GMS or PMS services and accepted for reimbursement) and the Notional Rent is usually reviewed every 3 years.
At each Notional Rent Review the NHS typically instruct the District Valuer to undertake a Notional Rent assessment which is then reported to the practice for consideration and acceptance. Practices have the right to challenge the District Valuer’s opinion up to 3 years following notification of the assessment.
How do I maximise my Notional Rent?
There are a few key ways to help maximise your Notional Rent:
❑ Fill in your CMR1 form accurately and in a timely manner to avoid any unnecessary delays. Avoid any errors, such as ensuring you include all useable space within the building and the correct number of car parking spaces. Seek professional advice prior to submitting the completed forms to NHS to ensure nothing has been missed.
❑ Keep your premises as compliant as possible with the relevant requirements and standards. Improvements to the accessibility of the building both internally and externally as well as infection control measures can have a positive effect on your Notional Rent reimbursement.
❑ Think about extending your property and/or increasing the reimbursable space in your building. Prior approval from the NHS is required for any increase to reimbursable space, otherwise there is the risk that reimbursement of Notional Rent will not be granted for the newly occupied space.
❑ Always seek independent professional advice upon receipt of a Notional Rent assessment. The District Valuer’s assessment of Notional Rent is their “opinion” of value, so it is always sensible to seek a second opinion from a specialist firm of Chartered Surveyors.