We work out your annual business rates bill by multiplying the rateable value of the property by the multiplier.

Rateable value

The rateable value is set by the Valuation Office and is an based on the annual rental value, size of the premises and, depending on the nature of the business, either the location or income: 

• From 1 April 2017, rateable values will be based on the valuation date of 1 April 2015
• Until 31 March 2017, rateable values will be based on a valuation date of 1 April 2008

You can check your property's rateable value with the Valuation Office Agency Opens in a new windowRateable values are next due to be reassessed in April 2023.

Multiplier

The multiplier is set by central government each financial year and normally changes in line with inflation.
There are two multipliers, the standard multiplier and the small business rate multiplier. The standard rate is used for all businesses with a rateable value of £51,000 or more and unoccupied (void) businesses, the small business rate is for all occupied businesses with a rateable value of under £51,000.

Small business rates supplement

If the property is occupied and has a rateable value of £51,000 or more there will be a small business rates supplement. This is calculated using the rateable value multiplied by the difference between the two multipliers.

Transitional adjustment

Revaluations can result in large increases or decreases in business rates bills. Transitional adjustment helps reduce the impact by phasing in these changes over a period of time. If a transitional adjustment applies to your rates bill, it will be applied automatically.

More information on transitional adjustments