Small business rate relief
Small business rate relief (SBRR) applies to properties with a rateable value below £18,000, occupied by a small business.
These businesses can benefit from:
- a percentage of relief from their business rates
- a lower multiplier when we calculate their rates
If your property has a rateable value of £6,000 or less, you will get 100% relief (doubled from the usual rate of 50% until 31 March 2017).
If its rateable value is between £6,001 and £12,000, you will get a percentage of relief. The percentage you will get gradually decreases as the rateable value of your property increases.
If your property has a rateable value of more than £12,000, but less than £18,000, you will not get a percentage of relief, but you will still benefit from a lower multiplier when we calculate your rates.
Changes to SBRR from 1 April 2017
The government has announced that from 1 April 2017:
- If your property has a rateable value of £12,000 or less, you will get 100% relief (doubled permanently from the previous rate of 50%)
- If your property has a rateable value between £12,001 and £15,000, you will get a tapered percentage of relief.
- If your property has a rateable value under £51,000, your business rates will be calculated using the small business multiplier (threshold increased from £18,000 in 2016-17)
What counts as a small business?
This relief only applies to small businesses. This means ratepayers who occupy either:
- one property only
- one main property, and other additional properties which each have a rateable value less than £2,600
You can only get SBRR on your main property. You still have to pay business rates on any additional properties with a rateable value less than £2,600, and cannot receive any SBRR on them.
You cannot get SBRR if any of your additional properties are valued at £2,600 or more. However, if you’re already getting SBRR and you take on an additional property valued at £2,600 or more, you will be allowed to keep your SBRR on your existing main property for a further 12 months. This extension of SBRR applies to businesses taking on additional property on or after 14 February 2014 only.
How to apply
Please quote your business rates account reference in all correspondence – your account reference is 7 or 8 digits long and starts with a 3, and you can find it on your business rates bill or any letter we’ve sent about your business rates.
A specialist officer will contact you to continue with your application.