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1.1 This section applies to all museums and non-commercial art galleries. The approach to museums and non-commercial art galleries will be the same as when considered vacant and to let they are both spaces used for exhibiting artefacts.

1.2 Museums and non-commercial art galleries are part of a wide-ranging mode or category of occupation as determined in Stephen G Hughes (VO) v Exeter City Council [2019] RA 73, which followed Hughes (VO) v York Museums and Gallery Trust [2017] UKUT 200 (LC). The mode or category for museums, historic properties and leisure attractions was considered at paras 45-48. The decision referred to Williams [2001] endorsing the use of general categories for the purposes of the reality principle, with a reminder that differences in categories of business may influence the valuation method used but valuation method does not determine the mode or category.

1.3 The Tribunal concluded at Para 204 that the VOs approach:

.focuses too narrowly upon what he acknowledges to be a broad spectrum of heritage assets. The essential quality of such an asset is its cultural, artistic, historic or scientific value and significance. We do not think it is appropriate to categorise them too narrowly (and, at least in part, by inappropriate criteria) when undertaking a comparative exercise to see how they are valued in the market. We accept that differences between a specific museum such as RAMM and a specific visitor attraction such as Stonehenge may amount to relevant comparative factors, but we do not agree that there is a clear and material distinction between the two that warrants the one being, in effect, rendered ineligible to inform the type of broad analysis that is appropriate.

1.4 Museums and non-commercial art galleries are a narrower part of this mode or category of occupation, and for the purposes of this section applies to properties where the analysis of the motivation for occupation, and balance of supply and demand, matches the museums in the York and Exeter decisions.

1.5 The core of properties to which this section applies are therefore museums and non-commercial art galleries which are primarily spaces used for exhibiting collections of artefacts. While they frequently occupy historic buildings, they do so as appropriate buildings in which to display their collection; occupation of a historic building may enhance the collection or the visitor experience but does not provide the main motive for occupation.

1.6 This covers a range of property types from purpose-built national and major city centre museums to small local museums run by volunteers in converted buildings.

1.7 Properties which may not be within the scope of this section include:

• Historic Properties occupied for preservation or conservation, including those typically occupied by the National Trust, English Heritage or CADW. These are dealt with inRating Manual: section 5a - historic properties.
• Commercial art galleries, where the primary motive for occupation is the sale of art. Free public access to these is common, but no more so than in a shop. Many visitors will not intend to purchase, but the prime motivation of the occupation is to make the art available for its eventual sale.
• Archives, where the primary purpose is to store artifacts rather than exhibit them. Some archives allow public access, either to researchers by appointment, to the general public on restricted days, or even more generally. Museums routinely hold substantial collections not on display. The key point in differentiating between archives and museums will be the primary purpose of the use. They are covered in Rating Manual: section 5a archives.
• Leisure Attractions. These can be defined as A place that people visit for pleasure and interest, often while they are on holiday and include tourist attractions, heritage railways, as well as miscellaneous leisure properties. They are covered in Rating Manual: section 5a leisure attractions.
• Information / Visitor Centres, which provide information relating to a topic or topics with which the centre is associated. This can include geographic, historic, scientific, industrial or architectural topics. They will not primarily involve curatorial functions relating to preservation/conservation of exhibits. They are covered in Rating Manual: section 5a Information / visitor centres.

1.8 Hybrid Approaches

1.9 Properties may be occupied for multiple purposes including that of a museum. Where this occurs, the primary use should be ascertained by considering the proportions of areas used, the time used for, and the overall motivation for occupation. Where a mix of distinct uses is identified it may be appropriate to apply different methods to different elements of the property.

1.10 Types of museums

1.11 Traditional museums are generally operated for socio-economic and cultural reasons. They can be run or funded by government departments, local authorities, charitable trusts or universities.

1.12 The types of buildings vary markedly and include iconic architect designed purpose-built and Victorian statement buildings of their era, the latter category being the most common in major towns and cities. They may also be housed in adapted buildings of historic interest with the museum collection being the main attraction but with some, albeit a minority, of artefacts related to and/or contemporary with the host historic building.

1.13 Many have been extended in their history and include substantial ancillaries for research/and or educational use. They house collections of importance for present and future generations. They meet a wide range of educational needs within the context of life-long learning. They may also use the collection as a basis for study and scholarship, by the museums own professional curatorial staff and by visiting scholars and students.

1.14 They divide into four main types:

a) National and Major City Museums

These museums will house collections of national or international significance. They will normally be situated in major regional cities or may be sited in development areas and thereby helping to revitalise the surrounding areas.

National museums are generally free to enter, although special exhibitions are often charged for.

b) Regional City and Large Town Museums

Purpose built or converted museums with significant local and regional collections including ancient and modern history, geology, archaeology, and natural history. Typically operated bylocal authorities, trust structures created by local authorities, or charities or not-for-profit organisations. Privately-owned museums are unusual at this level.

The occupation of these museums is usually for socio-economic, non-profit, reasons. There is a mix of free entry and admission charges. Gift shops and cafes may also generate some revenue and are typically in the control of the parent organisation, often through a separate trading company.

Revenues are usually used to off-set costs, not to attain a commercial level of profit. As a result many of these institutions merely break-even.

c) Local Museums in Smaller Towns

These museum types are many and varied. They usually have collections relating to local history, or personal collections of local significance, or minority interests. They may be in purpose-built buildings but the majority will occupy converted domestic, civic, commercial, or industrial buildings, housing collections of local significance. Those operated bylocal authoritiesor charities are unlikely to be operated commercially, and will either charge admission or be funded to provide free admission. Those that are run by families, individuals, or special interest groups will usually have an admission charge.

Revenues are usually used to off-set costs, not to attain a commercial level of profit. As a result many of these institutions merely break-even.

d) Transport, aviation, and military vehicle museums

These museums are often housed in former industrial units or former hangers, usually located on fairly large and sprawling sites with a range of building types and ages. The bigger sites will have well laid out parking facilities and admission charges are usually levied. These are often capable of producing operating surpluses.