AN island estate owned by the aristocratic family of a former Tory MP has had its deer stalking taxes slashed in a move which sees its rateable value cut to less than that of the community’s primary school.

It also means the landowner Islay Estates, owned by Wiltshire-based Lord Margadale, pays lower rates for the controversial country sporting activity on his large property than some locals are charged for other tourist activities.

An investigation by the Sunday National found Islay Estates won its challenge to the rateable value given to sporting rights.

The activity on Lord Margadale’s land was initially given an annual rateable value (RV) of £72,500. But the estate appealed the RV and it was reduced to £13,000, information on the Scottish Assessors’ data base reveals.

In contrast, Port Ellen Primary School on Islay was given a rateable value of £29,250.

Two hotels in Port Ellen were given a rateable value of £27,000, while Machrie Golf Course in the town saw its RV rise to £20,000 – after appealing a valuation of £13,600.

The revelations raise concerns over how rateable values are assessed.

Scottish Greens Highlands and Islands MSP John Finnie said: “Sadly blood sports continue to be an income stream for large landowners when the land could be put to better use for the local community.

“To then see the taxes minimised on such estates when the rateable value of community assets can be higher seems the wrong way round.”

Shooting and deer stalking ­ventures were exempt from non-domestic rates under legislation brought in by the Conservatives in 1994, although the companies did have to pay rates for other aspects of their businesses such as offices and holiday lets.

But the Scottish Government’s Land Reform Act in 2016 removed the exemption in a bid to bring in a more equitable system of land ­ownership.

The non-domestic tax rates bill is worked out by a formula which multiplies the RV with the poundage rate, set by the Scottish Government – currently 49.8p for properties with an RV of up to £51,000 and 51.1p for those with an RV of more than £51,000.

Last week the Sunday National revealed advisers to the Duke of Buccleuch challenged the rateable value given to shooting and stalking rigs on the Queensberry Estate at Sanquhar in Dumfries and Galloway.

Assessors initially set the rateable value (RV) for country sports at the property at £71,500, but on appeal it was slashed to £23,200. Three other sporting properties owned by the Buccleuch estates in the Borders also made successful appeals.

Under the Land Reform Act, the new revenue from sporting estates would go to a Scottish Land Fund to help promote community buyouts.

Lord Margadale is a title created in January 1965 for the Tory MP John Morrison.

Morrison, who died in 1996, represented Salisbury from 1942 to 1964 and was a key figure in the Conservatives through the leaderships of Anthony Eden, Harold Macmillan and Alec Douglas-Home. He was chairman of the 1922 committee from 1955 to 1964. Since 2017 the title is held by his grandson Alastair Morrison. The family seat is Fonthill House in Wiltshire, on a 9000-acre estate.

Sarah-Jane Laing, chief executive at Scottish Land & Estates, said “It is quite bizarre that the Scottish Greens, who repeatedly called for the reintroduction of non-domestic rates on sporting rights, are now criticising the ratings process despite the party being fully aware of the technical problems the policy would create.

“SLE consistently warned owners of all types of land including family farms, crofts, nature reserves and others would be caught up in the ratings process – not just large estates.

“Properties that are not involved in country sports or stalking activities should not pay any rates on these activities due to the exemption guidance provided by the Scottish Government. Those estates for whom sporting is part of their business obviously do not qualify for this exemption and will be liable to pay where required. This is in addition to the other taxes and rates that are paid as they fall due.

“A large number of ratings appeals were entered by all types of businesses as assessors only had a short window in which to implement the rates, resulting in broad brush valuations which took no account of local circumstances or deer management issues which should be considered when reaching the valuation. Businesses of all types who were caught up in the ratings process were able to appeal if they believed their rating was inaccurate but unfortunately many chose not to do so due to the professional advisory fees that may have been incurred as part of that process.”

Islay Estates and Dunbartonshire and Argyll and Bute Joint Board were approached for comment.