Rateable values
The rates payable per annum is calculated by multiplying the Rateable Value of the property by the appropriate 'multiplier' which is set each financial year by Central Government.
Rateable Value
Apart from properties that are exempt from Business Rates, each non-domestic property has a rateable value, which is set by valuation officers of the Valuation Office Agency (VOA), an agency of the Inland Revenue. It draws up and maintains a full list of all rateable values, available on their website. The rateable value of your property is shown on the front of your bill. This broadly represents the yearly rent the property could have been let for on the open market, on 1st April 2021.
The legal definition of Rateable Value is "the amount equal to the rent at which the property might reasonably be expected to let from year to year if the tenant undertook to pay all the usual tenant rates and taxes and bear the cost of repairs and insurance and other expenses (if any) necessary to maintain the property in a state to command that rent."
To find out your Rateable Value, please use the following links:
Introduction to business rates
National Non-Domestic Rating Multiplier
There are two multipliers; the standard non-domestic rating multiplier and the small business non-domestic rating multiplier. The former is higher to help pay for small business rate relief.
|
Financial Year |
Standard |
Small Business |
|---|---|---|
|
2024/2025 |
0.546 |
0.499 |
|
2023/2024 |
0.512 |
0.499 |
|
2022/2023 |
0.512 |
0.499 |
|
2021/2022 |
0.512 |
0.499 |
|
2020/2021 |
£0.512 |
£0.499 |
|
2019/2020 |
£0.504 |
£0.491 |
|
2018/2019 |
£0.493 |
£0.480 |
|
2017/2018 |
£0.479 |
£0.466 |
|
2016/2017 |
£0.497 |
£0.484 |
For example, to calculate the rates payable (without any adjustments) on a property with a Rateable Value of £13,950 you would multiply the Rateable Value by 0.491 which gives £6,849.45 as the rates payable per annum. Over £51,000(RV) calculation £60,500(RV) x 0.512 = gross rates of £30976.
See apply for business rate relief for further information.
Transitional Arrangements
Property values normally change a good deal between each valuation. Transitional arrangements help to phase in the effects of these changes by limiting increases in bills. Any transitional adjustments are shown on the front of your bill.
For further information about transitional arrangements please follow this link: transitional relief
You think your rateable value is too high
From 1st April 2023, you will need to use a business rates valuation account to tell the Valuation Office Agency you think your Rateable value is too high. You must continue to pay your business rates as normal until a decision has been made.
Sign in or register for a business rates valuation account
All appeals to rateable values must go through the VOA - Check and challenge your business rates valuation