Business Rates England 2026/27 | Multipliers, Reliefs & Appeals

This guide covers business rates in England for the 2026/27 billing year. Business rates — formally non-domestic rates — are charged on most non-residential property. The bill starts with the property’s rateable value (RV) multiplied by the relevant government-set multiplier, then applies any reliefs. Scotland, Wales and Northern Ireland have separate rules and should not be estimated from this page.

The 2026/27 England system has five multipliers rather than the old two-rate table. Your rate depends on the RV and, for properties below £500,000 RV, whether the property qualifies for the retail, hospitality and leisure (RHL) category. Estimate the bill with the Business Rates Calculator→, then check the relief rules below.

How the Bill Is Calculated

The VOA sets the rateable value: an estimate of the property’s yearly open-market rent at the relevant valuation date. The current 2026 rating list took effect on 1 April 2026. For a first estimate, multiply RV by the applicable multiplier; reliefs, transitional arrangements and any council adjustments can then change the amount actually billed.

The rate shown is pence in each pound of RV. A temporary 1p supplement can apply in 2026/27 to some ratepayers who are not receiving Transitional Relief or Supporting Small Business Relief. Treat the council bill as the final calculation rather than assuming the base multiplier is the amount payable.

These are gross illustrations only. They do not include SBRR, RHL eligibility checks, Transitional Relief, Supporting Small Business Relief, the temporary supplement or local adjustments.

Small Business Rates Relief

In England, a property with RV below £15,000 may qualify for Small Business Rates Relief (SBRR), subject to the property and ratepayer conditions. If the ratepayer occupies only one property and its RV is £12,000 or less, the bill can be reduced to zero. Between £12,001 and £15,000, the relief tapers down to nil. A property below £51,000 can generally use the small business multiplier even where it does not receive SBRR.

If you occupy more than one property, the additional-property rules and combined RVs matter. Do not assume that every small shop, office or studio receives 100% relief; ask the billing authority to confirm the award.

Other Key Reliefs and Support

• Empty property relief — eligible empty premises normally receive a short initial period of full relief, commonly 3 months, with longer rules for some industrial premises. Exemptions and sector-specific conditions apply, so confirm the end date with the council.
• Charitable relief — qualifying charities and community amateur sports clubs can receive mandatory 80% relief on qualifying property. A council may award discretionary relief for the balance. SBRR and charitable relief cannot normally be combined for the same property.
• Rural rate relief — qualifying rural shops, pubs and petrol stations can receive relief where the statutory conditions are met. Local authority confirmation is essential.
• Transitional Relief — limits the increase in a bill after the 1 April 2026 revaluation. The cap depends on RV and, for some bands, whether the property is in London.
• Supporting Small Business Relief — may cap increases for businesses that lose some or all of SBRR, rural relief, RHL relief or earlier supporting relief because of the revaluation.
• Local discretionary relief — councils can have additional schemes and application requirements. Check the billing authority’s current guidance.

For 2026/27, the published Transitional Relief increase caps are 5% for RV up to £20,000 (or £28,000 in London), 15% for RV £20,001–£100,000 (or £28,001–£100,000 in London), and 30% above £100,000. Supporting Small Business Relief uses the higher of £800 or the relevant percentage cap in qualifying cases. These limits do not replace the council’s property-specific bill.

Worked Example: A High-Street Shop

Suppose a qualifying RHL café in England has RV of £40,000. Before reliefs, its base calculation is £40,000 × 38.2p = £15,280. That is not automatically the final liability: the council must confirm the RHL classification and apply any relevant relief or transitional arrangement.

For comparison, a non-RHL office with the same RV would start with £40,000 × 43.2p = £17,280. A single-property business may then qualify for SBRR only if its RV and other conditions meet the scheme; at £40,000, it would not receive the 100% SBRR available at or below £12,000.

Business Rates vs Council Tax

Business rates apply to non-domestic property; council tax applies to homes. A mixed-use property can involve both systems, with the VOA and council determining the relevant classification or split. Do not infer the answer from the room’s name alone: use the property facts and seek a written view when a home, shop, office or converted building changes use.

Paying, Checking and Appealing

The billing authority sends the bill and sets out the instalment options and payment dates. Follow that bill rather than assuming a universal February, March or monthly deadline. If the charge is difficult to pay, contact the council early; an arrangement does not happen automatically.

For a valuation dispute, use the England check, challenge, appeal route:

1. Check the property details and RV in the VOA business-rates valuation service.
2. Challenge the valuation if the record or valuation appears wrong, supplying evidence.
3. Appeal to the Valuation Tribunal if the challenge is unsuccessful and you have grounds.

Continue paying the billed amount while the case is being considered unless the council tells you otherwise. If the valuation or liability is changed, the council will apply the resulting credit or refund under its process; do not assume a refund before a decision.

Check the property record before challenging the RV

Start with the address, description, floor area, use, locality and rateable value shown in the VOA record. Compare those facts with the lease, plans, measured areas, trading use and any material changes to the property. A challenge based only on the size of the bill is weaker than evidence showing why the valuation record or valuation approach is wrong. Keep dated photographs, plans, comparable evidence and correspondence with the billing authority.

The rateable value is not the same as the rent actually paid, turnover, mortgage cost or business profit. Those figures may be useful evidence in a valuation discussion, but they do not replace the statutory valuation basis. A lease renewal, rent-free period or change in business performance does not automatically change the RV or the multiplier.

Relief applications and changes in occupation

Relief is often applied through the billing authority rather than the VOA. Submit the requested application, ownership or occupation information and evidence of charity, rural, RHL or small-business conditions. Tell the council when another property is occupied, a business moves, a property becomes empty, a tenant changes or the use becomes mixed. A relief award can be reviewed or withdrawn when the facts change.

Keep the relief decision and effective date with each bill. If a landlord and tenant disagree about who should apply, check the lease and the council's rules; do not assume that the party paying the invoice automatically qualifies for every relief. A property can remain liable even when it is empty, subject to the specific empty-property rules and any exemption.

Transitional support is not a permanent discount

Transitional Relief and Supporting Small Business Relief limit changes caused by the rating list or relief changes; they do not permanently reduce the underlying RV or guarantee the same bill in future years. Keep the council's calculation showing the unadjusted amount, the cap, any supplement and the relief applied. Recalculate after a move, revaluation, relief change or later annual instalment notice.

If the business operates in Scotland, Wales or Northern Ireland, move to the relevant devolved administration's guidance. England's multipliers, VOA process and relief pages should not be copied across the UK. Even within England, local discretionary relief and billing arrangements can vary by council, so the official local bill remains the final payment instruction.

Appeal preparation and cash flow

A valuation challenge and a request for time to pay are separate actions. Prepare the evidence for the VOA while contacting the council early about instalments if cash flow is tight. Do not stop paying because a challenge has been submitted unless the billing authority confirms a different arrangement. Record all deadlines, submissions and reference numbers, and reconcile any later credit or refund to the original bill.

Frequently Asked Questions

Estimate your 2026/27 position with the Business Rates Calculator→. For neighbouring costs, read Capital Allowances UK 2026/27 and Property Income Allowance 2026/27.

Official sources

• GOV.UK: Estimate your business rates
• GOV.UK: Small Business Rate Relief
• GOV.UK: Transitional Relief
• GOV.UK: Supporting Small Business Relief
• GOV.UK: Challenge the valuation
• GOV.UK: 2026/27 non-domestic rating multipliers

These GOV.UK pages are the official references for business-rate estimates, reliefs, appeals and the 2026/27 multipliers. Check the local billing authority notice before paying or challenging a bill.