Small Business Rates Relief Calculator

Calculate your potential savings for 2025/26 instantly

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Your Annual Business Rates Relief

Rateable Value
Gross Rates
Relief Amount
Amount Payable

How Small Business Rates Relief Works

Small Business Rates Relief (SBRR) is a government scheme designed to support small businesses in England by reducing or eliminating their business rates liability. The amount of relief you receive depends on your property’s rateable value and whether you occupy one or multiple properties.

2025/26 Relief Rates

100% relief: Properties with a rateable value of £12,000 or less pay no business rates at all.

Tapered relief: Properties valued between £12,001 and £15,000 receive gradually reducing relief, from 100% down to 0%.

No relief: Properties valued above £15,000 do not qualify for SBRR, though other reliefs may be available.

Relief Calculation Method

The relief percentage for properties in the taper range is calculated as: (£15,000 – Rateable Value) ÷ £3,000 × 100%. This means a property worth £13,500 receives 50% relief, whilst one worth £14,000 receives approximately 33% relief.

Rateable Value Relief Percentage Annual Saving (approx.)
£10,000 100% £4,990
£12,000 100% £5,988
£13,000 66.67% £4,326
£14,000 33.33% £2,329
£15,000 0% £0

Eligibility Criteria

To qualify for Small Business Rates Relief, your business must meet specific conditions. The scheme primarily targets businesses occupying a single property with a low rateable value, though there are provisions for those with additional properties.

Single Property Businesses

You qualify if you occupy only one property with a rateable value below £15,000. This is the simplest route to relief and provides the maximum benefit.

Multiple Properties

You may still qualify if you have one main property below £15,000 and additional properties each worth less than £2,899, provided the total does not exceed £19,999 (£27,999 in London).

Property Occupation

The property must be occupied and actively used for business purposes. Empty properties do not qualify for SBRR, though they may be eligible for empty property relief.

Important: If you previously qualified for SBRR but lost eligibility after the 2023 revaluation, you may be entitled to Supporting Small Business Relief, which caps bill increases.

How to Apply

Applying for Small Business Rates Relief is straightforward. Most local authorities will automatically apply the relief if you qualify, but it’s important to verify your eligibility and contact your council if the relief hasn’t been applied.

  1. Check your rateable value by looking at your business rates bill or searching the Valuation Office Agency (VOA) website.
  2. Contact your local council to request SBRR if it hasn’t been automatically applied to your account.
  3. Provide evidence that you meet the eligibility criteria, including details of any additional properties you occupy.
  4. Submit your application in writing or through your council’s online portal, if available.
  5. Review your bill once processed to confirm the correct relief has been applied and your liability is accurate.

Additional Support Available

Beyond SBRR, small businesses may qualify for other schemes such as Retail, Hospitality and Leisure Relief (40% discount for 2025/26), charitable rate relief, or hardship relief for those in financial difficulty.

Frequently Asked Questions

What happens if my rateable value changes?
If your property’s rateable value changes due to alterations or a revaluation, your relief entitlement will be recalculated automatically. An increase above £15,000 means you’ll lose SBRR, whilst a decrease may increase your relief percentage. Changes typically take effect from the date of the valuation change.
Can I get SBRR if I run my business from home?
Home-based businesses only pay business rates if part of the property is used exclusively for business and appears on the rating list with a rateable value. If your property qualifies and has a rateable value below £15,000, you can claim SBRR. Most small home offices do not require separate business rates.
Is SBRR available in Scotland, Wales, and Northern Ireland?
Small Business Rates Relief as described here applies to England only. Scotland, Wales, and Northern Ireland operate their own business rates systems with different relief schemes, thresholds, and application processes. Contact your local council in those regions for specific information about available reliefs.
What is the small business multiplier?
The small business multiplier is a lower rate used to calculate business rates for properties with a rateable value below £51,000. For 2025/26, it is 49.9p per pound of rateable value, compared to the standard multiplier of 55.5p. This applies automatically and separately from SBRR, meaning even businesses not qualifying for relief benefit from the lower multiplier.
Can I claim SBRR retrospectively?
Yes, if you were eligible for SBRR but it wasn’t applied, you can request backdated relief from your local council. The time limit varies by council, but generally you can claim back up to six years. You’ll need to provide evidence that you met the eligibility criteria during the period in question.
What if I disagree with my rateable value?
You can challenge your rateable value through the Valuation Office Agency’s Check, Challenge, Appeal process. First, check your property details are correct, then formally challenge the valuation if you have grounds. You must continue paying rates during the process, but if successful, you’ll receive a refund and potentially qualify for higher SBRR.

Key Terms Explained

Rateable Value

The rateable value is an estimate of your property’s annual rental value as determined by the VOA. It reflects what the property could have been let for on the open market on a specific valuation date. This figure is the foundation for all business rates calculations and is reassessed during periodic revaluations.

Business Rates Multiplier

The multiplier is the pence-per-pound rate set by the government each year. For 2025/26, the small business multiplier is 49.9p (0.499) and the standard multiplier is 55.5p (0.555). Your gross business rates are calculated by multiplying your rateable value by the appropriate multiplier.

Tapered Relief

Tapered relief refers to the gradual reduction in relief percentage as rateable value increases from £12,001 to £15,000. This prevents a cliff edge where businesses would suddenly lose all relief at a single threshold, providing a smoother transition instead.

Supporting Small Business Relief

This is a transitional relief scheme for businesses that lost entitlement to SBRR or saw their bills increase significantly after the 2023 revaluation. It caps the annual increase in your rates bill to £600 per year (after other reliefs) until you reach your full liability.

References

  1. GOV.UK. Small Business Rate Relief. Department for Levelling Up, Housing and Communities. Available at: https://www.gov.uk/apply-for-business-rate-relief/small-business-rate-relief (Accessed: November 2025)
  2. GOV.UK. Business Rates Relief: 2025/26 Retail, Hospitality and Leisure Scheme. HM Treasury and Department for Levelling Up, Housing and Communities. Published: January 2025. Available at: https://www.gov.uk/guidance/business-rates-relief-202526-retail-hospitality-and-leisure-scheme
  3. SW Group. Business Rates Reliefs and Exemptions in England. Published: October 2025. Available at: https://www.swgroup.com/insights-events/insights/business-rates-reliefs-and-exemptions-in-england/
  4. Valuation Office Agency. Business Rates Valuation Account. Available at: https://www.gov.uk/guidance/how-to-use-your-business-rates-valuation-account (Accessed: November 2025)

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