2. Small business rate relief

You can get small business rate relief if:

  • your property’s rateable value is less than £12,000 (£15,000 from April 2017)
  • your business only uses one property - you may still be able to get relief if you use more

Contact your local council to apply for small business rate relief.

What you get

You won’t pay business rates on a property with a rateable value of £6,000 or less until 31 March 2017.

The rate of relief goes down gradually from 100% to 0% for properties with a rateable value between £6,001 and £12,000.

Examples

If your rateable value is £10,500, you’ll get 25% off your bill. If your rateable value is £9,000, you’ll get 50% off.

From 1 April 2017 you won’t pay business rates on a property with a rateable value of £12,000 or less. For properties with a rateable value of £12,001 to £15,000, the rate of relief will go down gradually from 100% to 0%.

Search for your property to estimate your business rates and the relief you could get from 1 April 2017.

If you use more than one property

When you get a second property, you’ll keep getting any existing relief on your main property for 12 months.

You can still get small business rate relief on your main property after this if both the following apply:

  • none of your other properties have a rateable value above £2,600 (£2,900 from April 2017)
  • the total rateable value of all your properties is less than £20,000 (£28,000 in London)

You’re a small business but don’t qualify for small business rate relief

If your property in England has a rateable value below £18,000 (£25,500 in London) you’re considered a small business.

Even if you don’t qualify for small business rate relief, your bill will be calculated using the small business multiplier, which is lower than the standard one. This is the case even if your business uses more than one property.

In 2016 to 2017 the small business multiplier is 48.4p instead of 49.7p. The multiplier is higher in the City of London.

Changes from 1 April 2017

You’ll pay the small business multiplier if your property has a rateable value below £51,000. The small business multiplier will be 46.6p and the standard multiplier will be 47.9p.

Search for your property to estimate what your rates will be.