Business rates are charged on most non-domestic properties, like: shops offices pubs warehouses factories holiday rental homes or guest houses You’ll probably have to pay business rates if you use a building or part of a building for non-domestic purposes. This guide is also available in Welsh (Cymraeg) . Business rates are handled differently if: your property is in Scotland your property is in Northern Ireland What to pay and when Your local council will send you a business rates bill in February or March each year. This is for the following tax year. You can also estimate your business rates bill . You can get help with business rates from: your council if you have questions about your bill the Valuation Office Agency ( VOA ) if you think your ‘rateable value’ is wrong Relief schemes You may be able to get business rates relief from your local council to reduce your bill. This is sometimes automatic, but you may need to apply. The process depends on whether: your property is in England your property is in Wales Who does not need to pay Certain properties are exempt from business rates , for example farm buildings or places used for the welfare of disabled people. If you own a stable You usually need to pay business rates on your stables, unless you use your horses for farming. You may pay Council Tax instead if your stables are in your garden. Contact the VOA to check if you’re not sure which you should pay.

How your rates are calculated

Business rates are based on your property’s ‘rateable value’. This is an estimate by the Valuation Office Agency of how much it would cost to rent a property for a year on 1 April 2021. There’s guidance on how to estimate your business rates . Your bill may be reduced if your property’s eligible for business rates relief . Business rates are handled differently if your property is in Scotland or your property is in Northern Ireland . If you think your rates are wrong If you think your rates are wrong, use your business rates valuation account to tell the VOA that: your property details (such as floor area sizes and parking) need changing you think that your rateable value is too high If you’re asked to provide rental information The VOA may ask you to provide rental information about your property so they can work out its rateable value. Contact the VOA if you need more time to send in your rental information.

At revaluation, the Valuation Office Agency ( VOA ) updates the rateable value of business properties to reflect changes in the property market. The most recent revaluation came into effect in England and Wales on 1 April 2023, based on rateable values from 1 April 2021. You can find your business rates valuation online . Business rates are handled differently if your property is in Scotland or your property is in Northern Ireland . What happens at revaluation At revaluation: all properties are given a new rateable value multipliers (standard and small business) are revised This means that a change in your rateable value does not always mean a change in your bill. To make sure your valuations are accurate, the VOA may ask you for rent and lease details for your property. Get business rates relief You may be able to get a discount from your local council if you’re eligible for business rates relief . For example you may be able to get: transitional relief small business relief relief for retail, hospitality and leisure properties

If your business or premises change

Your business rates could change if: you move or make changes to your premises the nature of your business changes you sublet part of your property you merge 2 or more properties into 1 Report changes to the Valuation Office Agency ( VOA ) to make sure you’re paying the right amount and do not get a backdated increase in your bill. Business rates are handled differently if your property is in Scotland or your property is in Northern Ireland . 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, building or roadworks). Report changes to the VOA . How to report changes You can report changes using your business rates valuation account .

You do not usually have to pay business rates for home-based businesses if you: use a small part of your home for your business, for example if you use a bedroom as an office sell goods by post You may need to pay business rates as well as Council Tax if: your property is part business and part domestic, for example if you live above your shop you sell goods or services to people who visit your property you employ other people to work at your property you’ve made changes to your home for your business, for example converted a garage to a hairdresser’s Contact the Valuation Office Agency ( VOA ) to find out if you should be paying business rates. In Scotland, contact your local assessor . In Northern Ireland, contact Land & Property Services .

Pubs and licensed trade

In England and Wales, the Valuation Office Agency ( VOA ) works out your rateable value using ‘fair maintainable turnover’. This is the annual level of trade (excluding VAT ) your pub is expected to achieve if operated in a reasonably efficient way. It’s based on: the type of pub or licensed premises the area it’s in your trading information and patterns the services it offers, for example food, gaming, or sports screenings how much rent you pay any income you make from accommodation rents and turnovers of other pubs The VOA then applies a percentage to work out the rateable value. The percentages are agreed with industry groups, including the British Beer and Pub Association. You can find the percentages in the VOA ’s valuation of public houses approved guide . You can find your business rates valuation online . If you want to check the figures the VOA are using or do not agree with the valuation, you can sign in or set up a business rates valuation account or contact the VOA . Business rates relief for pubs and licensed trade You may be eligible for business rates relief if your business is: a pub, bar, restaurant or café the only pub in a rural area a small business If your licensed premises are in Scotland In Scotland, your local assessor works out your rateable value. Contact your local assessor if you want to check the figures they’re using or do not agree with the figures being used. If your licensed premises are in Northern Ireland In Northern Ireland, Land and Property Services ( LPS ) works out your business rates. Read more about how LPS values pubs and other licensed premises in Northern Ireland .

Self-catering and holiday let accommodation

Whether you pay business rates will depend on how many nights your property is available to let each year and how many nights it was actually let. The Valuation Office Agency ( VOA ) will work out the rateable value of your property based on its type, size, location, quality and how much income you’re likely to make from letting it. There are different rules if your property is in Scotland or if your property is in Northern Ireland . If your property is in England It will be rated as a self-catering property and valued for business rates if over the last 12 months both the following were true: it was available to let for short periods commercially for at least 140 nights in total it was actually let for at least 70 nights If you only let one property in England and its rateable value is less than £15,000, you may be eligible for small business rate relief . If your property is in Wales It will be rated as a self-catering property and valued for business rates if over the last 12 months both the following were true: it was available to let for short periods commercially for at least 252 nights in total it was actually let for at least 182 nights Check if you’re eligible for small business rates relief in Wales . Tell the VOA you’re eligible to pay business rates If you’re currently paying Council Tax on your self-catering property but it has met the criteria for business rates, you can tell the VOA by filling in a form. Fill in this form if your property is either: currently valued as domestic but is now eligible for business rates a new self-catering property that has met the criteria over the last 12 months and is eligible for business rates How to fill in the form There are different forms for: properties in England properties in Wales

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Business rates

Q: Get help with business rates

You may be able to get a discount from your local council on your business rates if you’re eligible for one or more business rates relief schemes. For help with your property’s rateable value, contact the Valuation Office Agency ( VOA ). For help with your business rates bill (for example to pay in instalments) or rate relief, contact your council . Get professional advice You can also get help from a qualified rating surveyor through one of the following organisations: Royal Institution of Chartered Surveyors ( RICS ) Institute of Revenues, Rating and Valuation ( IRRV ) Rating Surveyors Association You may be charged for any advice you get from a rating surveyor right from the start. You can get advice from an organisation that’s part of the RICS Helpline Scheme . The first 30 minutes of the consultation call are free.

Overview

Business rates are charged on most non-domestic properties, like:

shops
offices
pubs
warehouses
factories
holiday rental homes or guest houses

You’ll probably have to pay business rates if you use a building or part of a building for non-domestic purposes.

This guide is also available in Welsh (Cymraeg).

Business rates are handled differently if:

What to pay and when

Your local council will send you a business rates bill in February or March each year. This is for the following tax year. You can also estimate your business rates bill.

You can get help with business rates from:

your council if you have questions about your bill
the Valuation Office Agency (VOA) if you think your ‘rateable value’ is wrong

Relief schemes

You may be able to get business rates relief from your local council to reduce your bill. This is sometimes automatic, but you may need to apply.

The process depends on whether:

Who does not need to pay

Certain properties are exempt from business rates, for example farm buildings or places used for the welfare of disabled people.

If you own a stable

You usually need to pay business rates on your stables, unless you use your horses for farming.

You may pay Council Tax instead if your stables are in your garden. Contact the VOA to check if you’re not sure which you should pay.

View a printable version of the whole guide

Business rates

Overview

What to pay and when

Relief schemes

Who does not need to pay

If you own a stable

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Business rates

Overview

What to pay and when

Relief schemes

Who does not need to pay

If you own a stable

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