Small business rate relief

You can get small business rate relief if: your property’s rateable value is less than £15,000 your business only uses one property - you may still be able to get relief if you use more You cannot get small business rate relief and charitable rate relief at the same time. Your local council will decide which type of relief you’re eligible for. What you’ll get How much small business rate relief you get depends on your property’s rateable value. You will not pay business rates on a property with a rateable value of £12,000 or less, if that’s the only property your business uses. For properties with a rateable value of £12,001 to £15,000, the rate of relief will go down gradually from 100% to 0%. ###Example If your rateable value is £13,500, you’ll get 50% off your bill. If your rateable value is £14,000, you’ll get 33% off. If you use more than one property When you get a second property, you’ll keep getting any existing relief on your main property for 12 months. You can still get small business rate relief on your main property after this if both the following apply: none of your other properties have a rateable value above £2,899 the total rateable value of all your properties is less than £20,000 (£28,000 in London) How to get small business rate relief Contact your local council to: check if you’re eligible find out how to get small business rate relief check if you can get any other types of business rates relief on top of small business rate relief If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property becomes empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises The amount of small business rate relief you’re eligible for may change. For example, it may decrease if the rateable value of your property has increased. You’ll usually need to pay your new rate starting from the day your circumstances changed. Check which changes in circumstance you need to report to the Valuation Office Agency (VOA) . If you think you should be getting small business rate relief but are not Contact your local council if you’re not getting small business rate relief and you think you’re eligible for it. If you think your rateable value is wrong You can challenge your property’s rateable value with the VOA . Use your business rates valuation account to do this. If you’re getting less small business rate relief since 1 April 2023 You may be eligible for the supporting small business relief scheme if you’ve lost some or all of your small business rate relief because of the revaluation on 1 April 2023 . Find out more about the supporting small business relief scheme . If you’re a small business but do not qualify for small business rate relief Your business rates bill is calculated using a ‘multiplier’ - your rateable value is multiplied by this number to get your final bill. If your property has a rateable value below £51,000, your bill will be calculated using the small business multiplier, which is lower than the standard one. This is the case even if you do not get small business rate relief. The small business multiplier is 49.9p and the standard multiplier is 51.2p from 1 April 2023 to 31 March 2024. The multipliers may be different in the City of London . Find out how to estimate your business rates bill . You may be eligible for another type of business rate relief. For example, if: you have a retail, hospitality or leisure property you are in financial difficulty Check what other reliefs you may be eligible for .

Retail, hospitality and leisure relief

You could qualify for retail, hospitality and leisure relief if your business is mainly being used as a: shop restaurant, café, bar or pub cinema or music venue hospitality or leisure business - for example, a gym, a spa or a hotel What you’ll get If you’re eligible, you could get 75% off your business rates bills for the 2024 to 2025 billing year (1 April 2024 to 31 March 2025). The most you can get in relief each billing year is £110,000 per business. If you opt out of retail, hospitality and leisure relief for the 2024 to 2025 billing year you cannot change your mind. How to get retail, hospitality and leisure relief Local councils manage business rates relief in their area. Contact your local council to: check if you’re eligible find out how to get retail, hospitality and leisure relief check if you can get any other types of business rates relief on top of retail, hospitality and leisure relief If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property becomes empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises If the amount of retail, hospitality and leisure business rate relief you’re eligible for changes, you’ll usually need to pay your new rate starting from the day your circumstances changed. Check which changes in circumstance you need to report to the Valuation Office Agency (VOA) . If you think you should be getting retail, hospitality and leisure relief but are not Contact your local council if you’re not getting retail, hospitality and leisure relief and you think you’re eligible for it. If you’re not eligible for retail, hospitality and leisure relief You may be eligible for another type of business rate relief. For example, if: you have a small business you are in financial difficulty Check what other reliefs you may be eligible for .

You could get rural rate relief if your business is in an eligible rural area with a population below 3,000. Your business must also be: the only village general store, food shop or post office, with a rateable value of up to £8,500 the only public house or petrol station, with a rateable value of up to £12,500 If there’s more than one business in the area, both businesses can still apply if they are different types of business - for example, a public house and a food shop. The property must be occupied. What you’ll get You will not pay business rates if your business is eligible for rural rate relief. How to get rural rate relief Local councils manage business rates relief in their area. Contact your local council to: check if you’re in an eligible rural area - the council will have a list of eligible areas and maps of those areas check if your type of business is eligible for rural rate relief find out how to get rural rate relief If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property becomes empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises If you stop being eligible for rural rate relief, you’ll usually need to pay your business rates bill starting from the day your circumstances changed. Check which changes in circumstance you need to report to the Valuation Office Agency (VOA) . If you think you should be getting rural rate relief but are not Contact your local council if you’re not getting rural rate relief and you think you’re eligible for it. If you think your rateable value is wrong You can challenge your property’s rateable value with the VOA . Use your business rates valuation account to do this. If you stopped getting rural rate relief after 1 April 2023 You may be eligible for the supporting small business relief scheme if you stopped getting rural rate relief because of the last revaluation on 1 April 2023 . Find out more about the supporting small business relief scheme . If you’re not eligible for rural rate relief You may be eligible for another type of business rate relief. For example, if: you have a small business you have a retail, hospitality or leisure business you are in financial difficulty You may also be exempt from paying business rates on agricultural land and buildings . Check what other reliefs you may be eligible for .

Charitable rate relief

You could get charitable rate relief if your property is mainly used for charitable purposes. To be eligible, the property must be used by either: a charity, or the trustees of a charity a community amateur sports club (CASC) You cannot get charitable rate relief and small business rate relief at the same time. Your local council will decide which type of relief you’re eligible for. If the property is used by a charity or its trustees Your local authority may ask for proof that your property is being used for charitable purposes - for example, your charity registration number or proof of charitable status. Find out more about setting up or registering a charity . If the property is used by a community amateur sports club To be eligible, your organisation must be registered with HM Revenue and Customs ( HMRC ) as a community amateur sports club. Find out more about registering as a community amateur sports club . What you’ll get Charitable rate relief gives you up to 80% off your business rates bill. Your local council may also be able to top up the discount so that you do not have to pay business rates. This is called ‘discretionary relief’. How to get charitable rate relief Local councils manage business rates relief in their area. Contact your local council to: check if you’re eligible find out how to get charitable rate relief find out if the council can top up the discount with discretionary relief so that you do not have to pay business rates check if you can get any other types of business rates relief on top of charitable rate relief If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property becomes empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises If the amount of charitable rate relief you’re eligible for changes, you’ll usually need to pay your new rate starting from the day your circumstances changed. Check which changes in circumstance you need to report to the Valuation Office Agency (VOA) . If you think you should be getting charitable rate relief but are not Contact your local council if you’re not getting charitable rate relief and you think you’re eligible for it. If you’re not eligible for charitable rate relief You may still be able to get discretionary relief if you’re a non-profit or voluntary organisation. Contact your local council to find out. You may also be eligible for another type of business rate relief. For example, if: you have a small business you have a retail, hospitality or leisure business you are in financial difficulty Check what other reliefs you may be eligible for .

Local newspaper relief

You could get local newspaper relief if your property is used as office premises for journalists and reporters on a local newspaper. You cannot get the relief for: magazines online newspapers that are not printed What you’ll get The relief is a £1,500 reduction in business rates per year for eligible properties. You can only get the relief for one property per newspaper even if more than one property is used as offices for the newspaper. If several local newspapers use the same office, they can only get the relief on one newspaper title. How to get local newspaper relief Local councils manage business rates relief in their area. Contact your local council to: check if you’re eligible find out how to get local newspaper relief check if you can get any other types of business rates relief on top of local newspaper relief Local newspaper relief will end on 31 March 2025. From 1 April 2025, you’ll need to pay business rates in full if you’re not eligible for another kind of relief. If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property becomes empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises If you stop being eligible for local newspaper relief, you’ll usually need to pay your new rate starting from the day your circumstances changed. Check which changes in circumstance you need to report to the Valuation Office Agency (VOA) . If you think you should be getting local newspaper rate relief but are not Contact your local council if you’re not getting local newspaper rate relief and you think you’re eligible for it. If you’re not eligible for local newspaper relief You may be eligible for another type of business rate relief. For example, if: your newspaper is a small business you are in financial difficulty Check what other reliefs you may be eligible for .

Empty property relief

If you get empty property relief, you do not have to pay business rates on your empty property for 3 months. The relief starts from when the property becomes empty. After this time, most businesses must pay full business rates. The following properties can get extended empty property relief: industrial premises (for example warehouses) are exempt for a further 3 months listed buildings - until they’re reoccupied buildings with a rateable value under £2,900 - until they’re reoccupied properties owned by charities - only if the property’s next use will be mostly for charitable purposes community amateur sports clubs buildings - only if the next use will be mostly as a sports club How to get empty property relief Contact your local council to: let them know when your property becomes vacant check if you can get extended empty property relief find out more about how empty property relief works in your area If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property is no longer empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises If you’re no longer eligible for empty property relief, you’ll usually need to pay your new rate starting from the day your circumstances changed. Check which changes in circumstance you need to report to the Valuation Office Agency (VOA) . If you think you should be getting empty property relief but are not Contact your local council if you’re not getting empty property relief and you think you’re eligible for it. If you’re not eligible for empty property relief You may also be eligible to take a short break from paying business rates bills if your property is one of the following: partly empty being refurbished If you’re in financial difficulty, you may also be able to get hardship relief . If your property is partly empty Your local council may offer business rates relief for a short time if your property is partly empty. If you’re eligible, you’ll get relief on the part of the property that is empty, starting from the day it became empty. Contact your local council to find out if this is offered in your area, check if you’re eligible and apply. If your property is being repaired or refurbished Tell the VOA if the building cannot be used because it’s being repaired or refurbished. Use your business rates valuation account to do this. The VOA will assess the property and the work that’s being done on it. If the VOA decides the repairs or improvements mean that the property cannot be used, you will not have to pay business rates until the building can be used again.

You might get improvement relief if you make certain improvements to your 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 If you think you should be getting improvement relief but are not Contact your local council if you’re not getting improvement relief and you think you’re eligible for it.

Transitional relief limits how much your bill can change each year as a result of business rates revaluation . From the 2023 to 2024 tax year you’ll get transitional relief if your rates go up or down by more than a certain amount. This means changes to your bill are phased in gradually. Your council will adjust your bill automatically if you’re eligible. How much your bill can change by How much your bill can change by from one year to the next depends on both: your property’s rateable value whether your bill is increasing or decreasing as a result of revaluation You stop getting transitional relief when your bill reaches the full amount set by a revaluation. The business rates year is from 1 April to 31 March the following year. If your bill is increasing from 1 April 2023 Rateable value 2023 to 2024 2024 to 2025 2025 to 2026 Up to £20,000 (£28,000 in London) 5% 10% plus inflation 25% plus inflation £20,001 (£28,001 in London) to £100,000 15% 25% plus inflation 40% plus inflation Over £100,000 30% 40% plus inflation 55% plus inflation If you’ve received a transitional certificate The transitional certificate value will be used in the business rates calculation for your property instead of the usual rateable value. If you disagree with the value of the certificate, contact the Valuation Office Agency ( VOA ) . If you need help Contact your local council if you have questions about transitional relief.

Supporting small business relief

You can get supporting small business relief if both of the following apply: your business property’s bill went up because of the most recent revaluation on 1 April 2023 you’ve lost some or all of your small business rate relief or rural rate relief What you’ll get If you’re eligible, your bills will go up by no more than £600 for the 2023 to 2024 tax year. Your council will adjust your bill if you’re eligible.

Councils can reduce or cancel your business rates bill with hardship relief. To give you this relief, your local council must agree that both: you would be in financial difficulties without it giving hardship relief to you is in the interests of local people You may be asked for proof of your financial situation or how your business benefits the local community. How to get hardship relief Local councils manage business rates relief in their area. Contact your local council and explain your situation to: check if you’re eligible and how much you can get find out how to get hardship relief check if you can get any other types of business rates relief instead or as well as hardship relief If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: you’re no longer in financial difficulty your financial difficulty is worse and you think you need more hardship relief If you’re no longer eligible for hardship relief, you’ll usually need to pay your new rate starting from the day your circumstances changed. If you’re not eligible for hardship relief You may be eligible for another type of business rate relief. For example, if: you have a small business you have a retail, hospitality or leisure business Check what other reliefs you may be eligible for .

If you’re starting up or relocating a business to an enterprise zone you could qualify for business rates relief. Eligibility Whether you’re eligible for relief and how much you’ll get will depend on: the local council’s rules for the enterprise zone when the enterprise zone was started when you started your business in or moved it to the enterprise zone What you’ll get The council works out how the relief is applied. You could get up to £55,000 in relief per year over 5 years. How to get enterprise zone relief Contact your local enterprise zone to: check whether it offers business rates relief find out how to get it Contact your local council to check if you can get any other types of business rates relief on top of enterprise zone relief. If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property becomes empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises If the amount of enterprise zone relief you’re eligible for changes, you’ll usually need to pay your new rate starting from the day your circumstances changed. Check which changes in circumstance you need to report to the Valuation Office Agency (VOA) . If you think you should be getting enterprise zone relief but are not Contact your local council if you’re not getting enterprise zone relief and you think you’re eligible for it. If you’re not eligible for enterprise zone relief You may be eligible for another type of business rate relief. For example, if: you have a small business you have a retail, hospitality or leisure business you are in financial difficulty Check what other reliefs you may be eligible for .

A freeport is an area in which businesses are given a range of benefits to support the local economy. If your business is based in a freeport you could qualify for business rates relief. Eligibility The freeports are: East Midlands Freeport Freeport East in Felixstowe and Harwich Humber Freeport Liverpool City Region Freeport Plymouth and South Devon Freeport Solent Freeport Teesside Freeport Thames Freeport You must have either: started your business in the freeport or moved there after the freeport was set up expanded your business in the freeport after the freeport was set up - for example, if you built an extension, took on new rooms or bought a new property in the freeport Contact your local council if you’re not sure whether your business is based in a freeport. What you’ll get Your local council works out how the relief is applied. You’ll usually get the full amount of relief and will not need to pay business rates on your property if you: started your business in the freeport or moved there after the freeport was set up expanded your business into the property after the freeport was set up You’ll usually get a discount on your business rates bill if your business was in the property before the freeport was set up and you: extended the property after the freeport was set up - for example, you built an extension or took on new rooms within the property improved a room or area within the property so that you could use it for the first time after the freeport was set up - for example, if you improved access or made fire safety improvements Your local council decides what discount you’ll get on your business rates bill. It’s usually based on how much the rateable value of the property has changed because of your extension or improvements. How long you’ll get freeports relief for You’ll get freeports relief for 5 years, starting from the day you first got it. How to get freeports relief Contact your local freeport to: check whether it offers business rates relief check if you’re eligible for it find out how to get it Contact your local council to check if you can get any other types of business rates relief on top of freeports relief. If your freeports relief stops, contact the council to find out why. If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property becomes empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises The amount of freeports relief you’re eligible for may change. For example, it may increase if you’ve extended your property and the rateable value of your property has increased. You’ll usually need to pay your new rate starting from the day your circumstances changed. Check which changes in circumstance you need to report to the Valuation Office Agency (VOA) . If you think you should be getting freeports relief but are not Contact your local council if you’re not getting freeports relief and you think you’re eligible for it. If you’re not eligible for freeports relief You may be eligible for another type of business rate relief. For example, if: you have a small business you have a retail, hospitality or leisure business you are in financial difficulty Check what other reliefs you may be eligible for .

You can get heat networks relief if your property is only used or mainly used as a ‘heat network’. A heat network supplies heating or cooling to other properties from a central source. To be eligible, the heat network must: take its energy from a low carbon source supply heating and cooling to other properties - for example, homes, shops, public buildings, hospitals and offices The heat network must not supply heat or cooling for industrial use - for example, to create products in factories. What you’ll get You will not pay business rates if your property is eligible for heat networks relief. How to get heat networks relief Contact the Valuation Office Agency ( VOA ) to check if your property is eligible for heat networks relief. If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay your bill. Contact the VOA if the property is no longer only or mainly used as a heat network.

Certain properties are exempt from business rates. You may not have to pay business rates on: agricultural land and buildings used for agricultural purposes, including fish farms buildings used for the training or welfare of disabled people buildings registered for public religious worship or church halls There are strict legal requirements for these exemptions. Contact the Valuation Office Agency ( VOA ) to check if your property is exempt from business rates. If you think your property should be exempt You can report that you think your property should be exempt to the VOA using your business rates valuation account . If the VOA decides your property is exempt, you will not need to pay business rates on the property again unless your business or premises change. If your circumstances change Report changes to make sure you’re paying the right amount and do not get a backdated increase in your bill or overpay. Contact your local council if: your property becomes empty you get another property you make any changes to your property that would increase its value - for example, extending or renovating it the nature of your business changes or it moves to different premises If the change means your property is not exempt any more, you’ll usually need to pay your new rate starting from the day your circumstances changed. Check which changes in circumstance you need to report to the VOA . If your property is not exempt from business rates You may be eligible for another type of business rates relief. For example, if you have a shop on your agricultural property, you may be eligible for: rural rate relief if it’s the only business in a rural area retail, hospitality and leisure relief You may also be eligible if: you have a small business your property is being used by a charity or a community amateur sports club you are in financial difficulty Check what other reliefs you may be eligible for .

Business rates relief

Types of business rates relief

Some businesses in England are eligible for a reduction in their business rates bill. This is called ‘business rates relief’.

The rules for business rates relief are different if your property is in Scotland, your property is in Wales or your property is in Northern Ireland.

Find out who to contact to get help with business rates relief.

This guide is also available in Welsh (Cymraeg).

When you can get business rates relief

You may be eligible for business rates relief if your business is:

a small business
a retail, hospitality and leisure property - for example, a shop, restaurant, entertainment venue or hotel
the only business in a rural area
a charity or a community amateur sports club
a local newspaper

You may also be eligible for business rates relief if:

you own a property and it’s empty, partly empty or being refurbished
you make certain improvements to your property
your rates change by more than a certain amount at revaluation
you’ll get less small business or rural rate relief after 1 April 2023
you are in financial difficulty
your property is in an ‘enterprise zone’
your property is in a ‘freeport’
your property is a heat network

Local councils can also choose to offer business rates relief to businesses that benefit the local community or economy. Contact your local council to find out if this is available in your area and check if you’re eligible.

When you do not have to pay business rates

Some properties are exempt from business rates.

You may not have to pay business rates on:

agricultural land and buildings, including fish farms
buildings used for the training or welfare of disabled people
buildings registered for public religious worship or church halls

Find out more about exempt properties.

If you’re not sure what business rates relief you’re eligible for

Local councils make decisions on whether businesses are eligible for relief, send business rates bills and collect payments.

Contact your local council to find out what types of relief you can get and how to apply.

If your premises are affected by local disruption

You may get a temporary reduction in your business rates if your premises are affected by severe local disruption (like flooding, or nearby building work or roadworks).

Tell the Valuation Office Agency (VOA) if you think a local disruption has affected the value of your property. Use your business rates valuation account to tell them.

The VOA will decide if you can get a temporary reduction in your business rates.

View a printable version of the whole guide

Business rates relief

Types of business rates relief

When you can get business rates relief

When you do not have to pay business rates

If you’re not sure what business rates relief you’re eligible for

If your premises are affected by local disruption

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Business rates relief

Types of business rates relief

When you can get business rates relief

When you do not have to pay business rates

If you’re not sure what business rates relief you’re eligible for

If your premises are affected by local disruption

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