Explanatory notes for non-domestic ratepayers

Depending on individual circumstances, a ratepayer may be eligible for a reduction in their business rates bill. This is called a rate relief.

There are a range of available reliefs.

Further details are provided below and at GOV.UK: Business rates.

Temporary reliefs

Some of the permanent reliefs are set out below, but other temporary reliefs may be introduced by the government at a fiscal event.

Further detail on current temporary reliefs is available at GOV.UK: Apply for business rate relief.

For more information contact the Business Rates Team.

Small business rates relief

If a ratepayer's sole or main property has a rateable value which does not exceed a set threshold, the ratepayer may receive a percentage reduction in their rates bill for this property of up to a maximum of 100%.

The level of reduction will depend on the rateable value of the property.

For example, eligible properties with a rateable value below a specified lower threshold will receive 100% relief while eligible properties above the lower threshold and below a specified upper threshold may receive partial relief.

The relevant thresholds for relief are set out in regulations and can be found on our rate relief page or at GOV.UK: Business rates.

Generally, this percentage reduction (relief) is only available to ratepayers who occupy either:

(a) one property, or

(b) one main property and other additional properties providing those additional properties each have a rateable value which does not exceed the limit set in regulations.

The aggregate rateable value of all the properties mentioned in (b), must also not exceed an amount set in regulations.

For those businesses that take on an additional property which would normally have meant the loss of small business rate relief, they will be allowed to keep that relief for a fixed additional period.

For full details on the relevant limits in relation to second properties and the current period for which a ratepayer may continue to receive relief after taking on an additional property, see our rate relief page or at GOV.UK: Business rates.

Certain changes in circumstances will need to be notified to the local authority by the ratepayer who is in receipt of relief (other changes will be picked up by the local authority). The changes which should be notified are:

(a) the property falls vacant,

(b) the ratepayer taking up occupation of an additional property, and

(c) an increase in the rateable value of a property occupied by the ratepayer in an area other than the area of the local authority which granted the relief.

Charity and community amateur sports club relief

Charities and registered community amateur sports clubs are entitled to 80% relief where the property is occupied by the charity or the club and is wholly or mainly used for the charitable purposes of the charity (or of that and other charities), or for the purposes of the club (or of that and other clubs).

The local authority may be able to give further relief on the remaining bill.

Full details can be obtained by contacting the Business Rates Team.

Unoccupied property rate relief

Business rates are generally payable in respect of unoccupied non-domestic property.

However, they are generally not payable for the first three months that a property is empty. This is extended to six months in the case of certain industrial premises, whilst certain other properties such as vacant listed buildings are not liable for business rates until they are reoccupied.

You can get full details on exemptions on our rate relief page or from gov.uk at GOV.UK: Business rates relief.