Retail, hospitality and leisure relief scheme 2025/2026
At the autumn statement, the Chancellor announced that eligible ratepayers will receive 40% relief on their business rates bills for the year 2025/26 up to a maximum cash cap of £110,000.
Relief will be provided to eligible occupied retail, hospitality and leisure (RHL) properties in 2025/26.
2025/26 retail, hospitality and leisure scheme details and criteria
As announced at Autumn Budget 2024, in April 2026, the government will replace retail, hospitality and leisure relief with two lower business rates multipliers for properties with rateable values below £500,000.
Cheltenham Borough Council will be responsible for determining which properties are eligible for these multipliers in line with government guidance.
|
Category |
Rateable Value (RV) |
Multiplier |
|---|---|---|
|
Small Business RHL |
Below £51,000 |
38.2p |
|
Standard RHL |
£51,000 – £499,999 |
43.0p |
|
Large (All Properties) |
£500,000 and above |
50.8p |
|
Small Business (Non-RHL) |
Below £51,000 |
43.2p |
|
Standard (Non-RHL) |
£51,000 – £499,999 |
48.0p |
The cash cap and subsidy control
In line with the conditions set by the government, a ratepayer may only claim up to £110,000 of support under the 2025/26 retail, hospitality and leisure relief scheme for all of their eligible hereditaments. This cash cap applies at a Group company level (so holding companies and subsidiaries cannot claim up to the cash cap for each company) and also to organisations which, although not a company, have such an interest in a company that they would, if they were a company, result in its being the holding company.
Furthermore, the retail, hospitality and leisure relief scheme is subject to the Minimal Financial Assistance limits under the Subsidy Control Act. This means no recipient can receive over £315,000 over a three-year period (consisting of the current financial year and the two previous financial years). Covid business grants received from local government and any other subsidy claimed under the Minimal Financial Assistance or Small Amounts of Financial Assistance limit over the three-year period should be counted.
Therefore, to claim the retail, hospitality and leisure relief you must not have exceeded either the £110,000 cash cap for 2025/26 or the Minimal Financial Assistance limit of £315,000 over three years (including 2025/26).
Find further details of the cash cap and subsidy control on GOV.UK.