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Business rate changes 2026

Every three years, the HMRC Valuation Office updates the rateable value (RV) of non-domestic properties to reflect changes in the property market. Revaluations maintain fairness in the system by redistributing business rate liabilities amongst ratepayers.

They are not carried out to generate extra revenue.

The latest revaluation came into effect on 1 April 2026 based upon market values as of 1 April 2024.

Phasing out of retail discount and new non-domestic rates multipliers

The government has phased out retail discount and that ended on 31 March 2026.

From 1 April 2026, the government introduced three new multipliers in addition to the existing two multipliers.

The multiplier we use to calculate your gross business rates depends on the use of the hereditament (retail or otherwise) and the size of the rateable value.

The multipliers that now apply as of 1 April 2026 are:

  • Small business multiplier (SBR) – All properties with a rateable value of below £51,000
  • Standard multiplier – All properties with a rateable value of £51,000 and above
  • Retail, hospitality and leisure multiplier for those properties with a rateable value of below £51,000
  • Retail, hospitality and leisure multiplier for those properties with a rateable value of £51,000-£499,999.
  • Large multiplier for all properties with a rateable value of £500,000 and above.

The table below shows the system of multipliers from 2026/27 onwards.

Non-domestic rates multipliers
Property Multiplier

SBR RHL multiplier

38.2p

Standard RHL multiplier

43.0p

SBR multiplier

43.2p

Standard multiplier

48.0p

Multiplier RV over 500,000

50.8p

 

We will determine whether your property falls into the category of retail, hospitality and leisure and charge you that multiplier accordingly. The government set the value (pence in the pound) of all the multipliers. 

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