How are business rates calculated
Business Rates now accessible online
Your annual Business Rates bill is calculated and collected by us.
We multiply the rateable value of an individual property, which is determined by the Valuation Office Agency by a multiplier (the national non-domestic multiplier) set by central government. This is effective from 1st April each year. The multiplier represents the number of pence in each pound of the rateable value that is payable in Business Rates before any discounts or relief are applied.
The government reviews the multiplier each year to reflect changes in inflation.
At revaluation, the Valuation Office Agency updates the rateable value of business properties to reflect changes in the property market.
The most recent revaluation came into effect on 1st April 2023. It was based on the cost to rent a property for a year on 1 April 2021. The next revaluation will come into effect on 1st April 2026. It will be based on the cost to rent a property for a year on 1 April 2024.
Year | Small Business Multiplier | Standard Multiplier |
|---|---|---|
2023/24 | 49.9p | 51.2p |
2024/25 | 49.9p | 54.6p |
2025/26 | 49.9p | 55.5p |
Business Rates multipliers for 2026/27
From April 2026, the UK Government has introduced five new business rates multipliers.
New Retail, Hospitality and Leisure (RHL) multipliers will replace the annual 40% RHL relief that was applied in 2025. Properties with a rateable value of £500,000 and above will also have a new multiplier.
Category | Criteria | Multiplier |
|---|---|---|
Small business (RHL) multiplier | Retail, Hospitality and Leisure (RHL) businesses with RV below £51,000 | 38.2p |
Small business (non-RHL) multiplier | Non-RHL businesses with RV below £51,000 | 43.2p |
Standard (RHL) multiplier | RHL businesses with RV between £51,000 and £499,999 | 43.0p |
Standard (non-RHL) multiplier | Non-RHL businesses with RV between £51,000 and £499,999 | 48.0p |
Large property multiplier | For all properties with RV of £500,000 and above | 50.8p |
Multipliers shown in pence per pound of rateable value (RV).
Transitional rate relief
For more information on Transitional Rate Relief, visit transitional relief on the Gov.uk website.
Estimate your bill
You can estimate your business rates bill using the Gov.uk Business Rates Calculator. Any figures that the estimator provides are only estimates. Your exact liability will be on your business rates bill.
