Business Rates Calculator 2025-26
How Business Rates Work
Business rates are a tax on commercial properties in the UK, calculated by multiplying your property’s rateable value by the government’s annual multiplier. The rateable value represents the estimated annual rental value of your property as assessed by the Valuation Office Agency.
Current Multipliers (2025-26)
| Location | Standard Multiplier | Small Business Multiplier | Threshold |
|---|---|---|---|
| England | 55.5p | 49.9p | £51,000 |
| Wales | 55.5p | 49.9p | £51,000 |
| Scotland | 52.4p | 49.8p | £51,000 |
Business Rates Relief Schemes
Small Business Rate Relief
Properties with a rateable value of £12,000 or less receive 100% relief, meaning no business rates are payable. Properties valued between £12,001 and £15,000 receive proportional relief on a sliding scale.
Retail, Hospitality & Leisure Relief (2025-26)
Eligible retail, hospitality, and leisure businesses receive 40% relief on their business rates, capped at £110,000 per business. This includes shops, restaurants, pubs, hotels, cinemas, and leisure facilities.
Finding Your Rateable Value
Your property’s rateable value is set by the Valuation Office Agency and can be found:
- On your business rates bill
- Using the government’s online rateable value checker
- By contacting your local council
- Through the VOA website search facility
Rateable values are reviewed every few years during revaluations. The most recent revaluation took effect in April 2023, with the next scheduled for April 2026.
Frequently Asked Questions
Business rates are typically paid in 10 monthly instalments from April to January, though you can arrange to pay annually or request different payment arrangements with your local council.
Yes, you can appeal your rateable value if you believe it’s incorrect. Appeals must be made to the Valuation Office Agency within specific time limits following a revaluation or change in circumstances.
Empty properties may be exempt from business rates for the first three months (six months for industrial properties). After this period, you typically pay 100% of the standard rate unless specific exemptions apply.
Most relief schemes require an application to your local council. Small business rate relief is often applied automatically, but retail, hospitality, and leisure relief typically requires a separate application.
Non-payment can lead to court action, bailiff visits, and additional costs. Your local council may also apply for a charging order against your property or petition for bankruptcy/winding up proceedings.
Planning for 2026 Changes
Significant changes are planned for April 2026, including:
- New lower multipliers for retail, hospitality, and leisure properties under £500,000 rateable value
- Higher multipliers for all properties over £500,000 rateable value
- A fresh revaluation affecting all rateable values
These changes aim to support high street businesses whilst generating revenue from large distribution centres and online retail warehouses.