Business Rate Reductions and Relief
There are a number of rate reductions and reliefs that businesses can apply for. You can find more information in our 
Business Rates guidance [316KB] or on the GOV.UK website. Please contact the Business Rates Team to apply.
Our
Discretionary Rate Relief Policy 2019/20 [374KB] gives details of local reliefs available. Please complete the 
Discretionary Rate Relief Application [50KB] and return it with the
State Aid Declaration [49KB] .
On this page
Business Rates Changes from 1 April 2026
From 1 April 2026, the government is introducing several important changes to Business Rates. These changes may affect how your bill is calculated and the reliefs you receive.
2026 Revaluation
The Valuation Office Agency (VOA) has updated the rateable values of all non‑domestic properties in England and Wales. These new values are based on the property rental market as of 1 April 2024 and will be used to calculate bills from 1 April 2026.
Your new rateable value is not the same as your bill.
Bills are calculated by multiplying the rateable value by the relevant multiplier and then applying any reliefs.
You can now view your future rateable value using the VOA's online service.
Retail, Hospitality and Leisure (RHL) Relief Ends
The current 40% RHL Relief ends on 31 March 2026. From 1 April 2026, it will be replaced with permanently lower multipliers for eligible properties with a rateable value under £500,000.
New Business Rates Multipliers
From April 2026, the existing "small" and "standard" multipliers will be replaced with five new multipliers, depending on property type and rateable value.
New multipliers for England (pence per £ of rateable value)
| Rateable value | New multiplier (pence per £ of rateable value) |
|---|---|
| under £51,000 | 38.2p |
| between £51,000 and £499,999 | 43.0p |
| £500,000 plus | 50.8p |
| Rateable value | New multiplier (pence per £ of rateable value) |
|---|---|
| under £51,000 | 43.2p |
| between £51,000 and £499,999 | 48.0p |
| £500,000 plus | 50.8p |
Transitional Relief
A redesigned £3.2 billion Transitional Relief Scheme will limit how much your bill can increase each year. Relief is applied automatically.
Annual maximum increases (before inflation):
Rateable value | 2026/27 | 2027/28 | 2028/29 |
|---|---|---|---|
under £20,000 (small properties) | 5% | 10% | 25% |
£20,001 to £100,000 (medium properties) | 15% | 25% | 40% |
Over £100,000 (large properties) | 30% | 25% | 25% |
Transitional Relief Supplement
A temporary 1p supplement will apply for ratepayers who do not receive Transitional Relief or Supporting Small Business Relief. This is in place for one year from 1 April 2026.
Supporting Small Business (SSB) Scheme 2026
If you lose some or all of your Small Business Rates Relief, Rural Rate Relief or RHL Relief as a result of the revaluation, your bill increases will be capped at the higher of either:
- £800, or
- the relevant transitional cap
The scheme has been expanded to include ratepayers losing RHL relief.
Pubs and Live Music Venues Relief (2026-27)
Eligible pubs and live music venues may receive 15% relief for 2026-27, in addition to other reliefs they are entitled to.
Electric Vehicle Charging Points and EV-only Forecourts
From April 2026, eligible EV charging points and EV-only forecourts will continue to receive 100% Business Rates Relief.
What you should do now
- Check your new rateable value - use the VOA's 'find a business rates valuation' service (you'll need a Business Rates Valuation Account) - if the details are wrong, you have until 31 March 2026 to request a review
- Check eligibility for reliefs - reliefs may change depending on your property type and new rateable value
- Review your budget for 2026-27 - the new multipliers and rateable values may change your bill
Unoccupied Property Rate Relief
Business rates are generally payable in respect of unoccupied non-domestic property. However, they are generally not payable for the first three months that a property is empty. This is extended to six months in the case of certain other properties (for example industrial premises).
Small Business Rate Relief
If a ratepayer's sole or main property has a rateable value which does not exceed an amount set out in regulations (currently £12,000), the ratepayer may receive a percentage reduction in their rates bill for this property of up to a maximum of 100%. Eligible properties above the lower threshold (currently £12,000 rateable value) and below a specified upper threshold (currently £15,000 rateable value) will receive partial relief. The relevant thresholds for relief are set out in regulations.
Generally, this percentage reduction (relief) is only available to ratepayers who occupy either:
- (a) one property, or
- (b) one main property and other additional properties providing those additional properties each have a rateable value which does not exceed the limit set in regulations.
The aggregate rateable value of all the properties mentioned in (b), must also not exceed an amount set in regulations. For those businesses that take on an additional property which would normally have meant the loss of small business rate relief, they will be allowed to keep that relief for a fixed additional period.
You can find full details on the relevant limits in relation to second properties, and the current period for which a ratepayer may continue to receive relief after taking on an additional property, from your local authority or on the GOV.UK website.
Certain changes in circumstances will need to be notified to the local authority by the ratepayer who is in receipt of relief (other changes will be picked up by the local authority). The changes which should be notified are:
- the property falls vacant
- the ratepayer taking up occupation of an additional property
- an increase in the rateable value of a property occupied by the ratepayer in an area other than the area of the local authority which granted the relief
Improvement relief
With effect from 1 April 2024, you might get improvement relief if you make certain improvements to your business property. If you're eligible, you'll get the relief for one year. It starts from when you complete your improvements.
Eligibility
Any improvements you make must:
- increase the 'rateable value' of your property
- be completed on or after 1 April 2024
They must also either:
- increase the size of your property
- add new features or equipment to your property, such as heating, air conditioning or CCTV
Any improvements to existing features or equipment do not qualify.
You must have occupied the property during and after the improvement works to get improvement relief. You cannot pass on your improvement relief to anybody else.
What you'll get
Your local council will decide how much relief you get based on your property's 'rateable value' and the type of improvements you've made.
How to get improvement relief
You can report changes to your property using your business rates valuation account.
The VOA will decide if the changes could be considered for improvement relief. They will send a certificate to you and your council showing:
- how the improvement affects the property's rateable value
- when the relief ends
Once your local council has confirmed you were occupying the property for the duration of the improvements, they will:
- decide how much improvement relief you are entitled to
- send you a reduced rates bill.
Further details are available on gov.uk website.
