Important Changes to Business Rates from 1 April 2026

From 1 April 2026, there are significant changes to how Business Rates charge is calculated. These changes may affect the amount you pay.


Key Summary of Changes:

  • Autumn Budget 2025 Business Rate Relief Package
  • Retail, Hospitality and Leisure Relief (RHL) ends on 31 March 2026
  • New non-domestic rates multipliers to be introduced from 1 April 2026
  • Business Rates Revaluation 2026
  • Pubs and Live Music Venues Relief 2026 to 2027

Budget 2025 Business Rates Relief Package

At the Autumn Budget on 26 November 2025, the Chancellor announced a package of measure which provide support to businesses in England:

  • Non-Domestic Rates multipliers for 2026 to 2027
  • Transitional Relief Scheme
  • Supporting Small Business Scheme
  • Extending the Small Business Rate Relief grace period

New multipliers from April 2026

There are 5 new multipliers which are dependent on the size of the business and whether it meets the criteria for the provision of retail, hospitality or leisure:

  • small business RHL (RV up to £51,000): 38.2p
  • small business - other sectors (RV up to £51,000): 43.2p
  • standard RHL (RV over £51,000): 43p
  • standard - other sectors (RV over £51,000): 48p
  • high value properties (all sectors, RV over £500,000): 50.8p

Retail, Hospitality or Leisure Multipliers from April 2026

Retail, Hospitality and Leisure Relief ends on 31 March 2026 and the Government has replaced this with two lower business rates multipliers for properties with rateable values below £500,000.

These apply to business premises that are wholly or mainly used for RHL purposes for visiting members of the public.

We used our existing data to determine eligibility for the new RHL multipliers. If you qualify for a RHL multiplier it is shown on your bill.

If you believe that the multiplier is incorrect or would like additional information, see our Retail, Hospitality and Leisure Relief page.


Transitional Relief

To support ratepayers facing large bill increases at the revaluation the Government has introduced a redesigned Transitional Relief scheme.

This caps large increases caused by changes to rateable values.

If you qualify, this relief has been applied automatically and is shown on your bill.

If you would like additional information, see our Transitional Relief page.

Transitional Relief Supplement

This is a 1p supplement to the relevant tax rate for ratepayers who do not receive Transitional Relief or the Supporting Small Business scheme to partially fund Transitional Relief.

This will apply for one year from 1 April 2026.


Supporting Small Business Scheme (SSB) 2026

Bill increases are capped for businesses losing some or all of their Small Business Rates Relief or Rural Rate Relief because of the 2026 revaluation.

This scheme has also been extended to ratepayers losing their RHL relief. Businesses who were still receiving SSB relief because of the 2023 revaluation have had their relief extended for 12 months.

Bill increases will be capped at the higher of £800 per year or the relevant transitional relief caps from 1 April 2026.

Extending the Small Business Rates Relief (SBRR) grace period

Businesses taking on a second property after 27 November 2025 will retain SBRR on their original property for 3 years.

Those who have taken on an additional property prior to this date will retain SBRR for 1 year.


Business Rates Revaluation 2026

Every three years, the Valuation Office Agency (VOA) updates the rateable values of over 2 million commercial properties in England and Wales.

This process is called a revaluation; it is intended to ensure business rates reflect changes in the property market.

The next revaluation comes into effect on 1 April 2026, using market values determined as of 1 April 2024.


Pubs and Live Music Venues Relief

This relief is designed to help pubs and live music venues; they will be entitled to a further reduction of 15% after any other eligible rate relief(s).

The relief applies only to occupied properties.

We used our existing data to determine eligibility for the new relief. If you qualify for this relief it is shown on your bill.

If you believe that you qualify for this relief or would like additional information, see our information on how to reduce your Business Rates bill.

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