Starting from 1 April 2023, the Valuation Office Agency (VOA) has revised the rateable values for all businesses and other non-domestic properties in England and Wales.
The Government imposes business rates on offices, shops, pubs, and warehouses, as well as on partially non-domestic properties.
A support package worth around £13.6 billion over the next five years has been introduced by the Government for business rates.
The package includes measures to freeze the business rates multipliers at 49.9p and 51.2p in 2023-24, which is expected to reduce bills by six per cent compared to without the freeze.
Key business rate changes in 2023:
The updated values reflect the property market as of 1 April 2021, and the Business Rates Revaluation 2023 has both benefited and impacted various sectors.
Business rates are calculated based on the property’s rateable value, which is the estimated open market value. The rateable value is not the amount paid in business rates or rent, but rather it is used by your council to determine your business rates bill.
Small Business Rates Relief applies to properties with rateable values below £15,000, and typically to businesses using only one property:
Even if your small business doesn’t qualify for Small Business Rates Relief, your bill will be calculated using the lower small business multiplier (for properties with rateable values below £15,000).