| By Chandraketu Tripathi | Updated April 2026 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| April 2026 brings the biggest shake-up to business rates in England and Wales for decades. A national revaluation updates rateable values for the first time since 2023, and the system moves from 2 multipliers to 5 — with permanently lower rates for retail, hospitality, and leisure businesses replacing the annual RHL relief. If you pay business rates, you need to understand your new rateable value and which multiplier applies. | ||||||||||||||||||||||||||||||||||||||||||||||||||
Key Facts New revaluation: 1 April 2026 (based on April 2024 rental values) | Multipliers: 5 tiers from 38.2p to 50.8p | SBRR: 100% relief up to RV £12,000 | Transitional relief: £3.2 billion | Check RV: voa.service.gov.uk | ||||||||||||||||||||||||||||||||||||||||||||||||||
Business Rates Multipliers UK 2026-27 | ||||||||||||||||||||||||||||||||||||||||||||||||||
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Business Rates Calculator UK 2026 | ||||||||||||||||||||||||||||||||||||||||||||||||||
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Small Business Rates Relief UK 2026 | ||||||||||||||||||||||||||||||||||||||||||||||||||
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The 2026 Revaluation: What Changes | ||||||||||||||||||||||||||||||||||||||||||||||||||
| The VOA updated all commercial property rateable values in England and Wales from 1 April 2026, based on rental market data from 1 April 2024. This is the second revaluation since the government moved to 3-yearly revaluations (previously 5-yearly). Key points: a higher RV does not automatically mean a higher bill — because multipliers have also decreased; the £3.2 billion Transitional Relief scheme caps increases over 3 years; properties with lower new RVs immediately benefit from the reduction. To find your new rateable value and estimated bill, visit voa.service.gov.uk. | ||||||||||||||||||||||||||||||||||||||||||||||||||
How to Challenge Your Rateable Value | ||||||||||||||||||||||||||||||||||||||||||||||||||
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Frequently Asked QuestionsHow are business rates calculated UK 2026? Business rates are calculated by multiplying your property's Rateable Value (RV) by the relevant multiplier. From April 2026, there are 5 multipliers: 38.2p (small RHL — retail, hospitality, leisure with RV under £51,000), 43.2p (small non-RHL with RV under £51,000), 43p (standard RHL with RV £51,000-£499,999), 48p (standard non-RHL), and 50.8p (high value — RV £500,000+). Example: RV £20,000, small business multiplier = £20,000 × 0.432 = £8,640/year. What is small business rates relief UK 2026? Small Business Rates Relief (SBRR) provides 100% relief on properties with a Rateable Value of £12,000 or less — you pay nothing. Between RV £12,001 and £15,000, relief tapers from 100% to 0%. You can only claim SBRR on your main property. From April 2026, a new rule allows businesses to keep SBRR on their first property for 3 years after taking on a second property (previously only 1 year). What happened to retail hospitality and leisure relief in 2026? The annual RHL relief (which was 40% in 2025-26) has been replaced from April 2026 with permanently lower multipliers for RHL businesses. Instead of an annual discount, RHL businesses with RV under £51,000 now pay a fixed multiplier of 38.2p, and those with RV £51,000-£499,999 pay 43p. This gives long-term certainty instead of year-by-year relief announcements. What is the 2026 business rates revaluation? The Valuation Office Agency (VOA) carried out a national revaluation of all commercial properties in England and Wales, effective 1 April 2026. Rateable values are now based on rental values as of 1 April 2024. Some properties will have higher RVs (particularly in areas where commercial rents have risen), while others will have lower RVs. A £3.2 billion Transitional Relief scheme caps bill increases over 3 years. How can I reduce my business rates bill UK 2026? You can reduce your business rates by: applying for Small Business Rates Relief (SBRR) if your RV is under £15,000, checking if you qualify as RHL for the lower multiplier, applying for charitable relief (80% off if a charity), checking for empty property relief (3-6 months free), challenging your Rateable Value with the VOA if you believe it is too high, and applying for hardship relief from your local council in exceptional circumstances. | ||||||||||||||||||||||||||||||||||||||||||||||||||
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| Disclaimer: Always verify with GOV.UK, HMRC, VOA, and Acas. Sources: gov.uk, bcpcouncil.gov.uk, bristol.gov.uk, commonslibrary.parliament.uk, gtlaw.com, kingsbridge.co.uk, ir35update.co.uk. April 2026. |
Business Rates UK 2026: New Multipliers, Revaluation & Small Business Relief
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