Business Rates Frequently Asked Questions

Q1. What is Business Rates?
Q2. Who has to pay Business Rates?
Q3. What is a non-domestic property?
Q4. Are any non-domestic properties exempt from Business Rates?
Q5. How much will I have to pay?
Q6. What is a 'rateable value'?
Q7. What is the multiplier?
Q8. What are transitional arrangements and why do we have them?
Q9. What types of reliefs are available and how do I apply for relief?
Q10. Where can I find out more?

Q.11. How are empty rate liabilities changing?

Q1. What is Business Rates?
The Non-Domestic Rates, or Business Rates, collected by local councils are the means by which businesses and others who occupy non-domestic property make a contribution towards the cost of local services.

Q2. Who has to pay Business Rates?
The occupier of a non-domestic property normally pays the Business Rates; this is usually the owner or leaseholder. If the property is empty the owner or leaseholder will have to pay a reduced rate.

Q3. What is a non domestic property?
Non-domestic properties include business properties such as shops, offices, warehouses and factories together with other property such as advertising rights and telphone masts

Q4. Are any non-domestic properties exempt from Business Rates?
Some types of property are exempt from Business Rates. This means that no business rates are charged for them. Exempt properties include:

agricultural land and buildings;
fish farms;
churches and other places of worship;
sewers;
public parks;
certain property used for disabled people;
swinging moorings for boasts.

Q5. How much will I have to pay?
Every non-domestic property, unless it is exempt, has a rateable value. (Click here for more information on rateable values)

We work out the amount of your Business Rates bill by multiplying your rateable value by the multiplier or 'rate poundage' which the Government sets from 1 April each year, for the whole of England.

This may be the amount you have to pay but it could be reduced by any transitional or other reliefs you are entitled to, or increased if your property is in downward transition following revaluation.

Further information and a tool that can give you an indication of your liability can be found at:

http://www.businesslink.gov.uk/

Q6. What is a 'rateable value'?
The rateable value broadly represents the yearly rent the property could have been let for on the open market on a particular date.

For more information on rateable values, see our rateable values page.

Q7. What is 'the multiplier'?
The 'multiplier' or 'rate poundage' is an amount set by the Governement each year which we multiply by the rateable value to work out much the non domestic rates bill should be.

For more information on rates multipliers, click here.

Q8. What are transitional arrangements and why do we have them?
Property values normally change a good deal between each revaluation. Transitional arrangements help to phase in the effects of these changes on ratepayers bills. To help pay for the limits on increases in bills after a revaluation, there also have to be limits on reductions in bills.

For more information on transitional arrangements, click here.

Q9. What types of relief are available and how do I apply for relief?
The following types of rate relief are available;

Small Business Rate relief
Property empty and unused
Charities and charity shops
Not a charity but another type of non profit making organisation
Rural relief in villages with population under 3000
Part of your property is not being used and is completely unoccupied for a short time
You are suffering severe hardship

www.voa.gov.uk

Q10. Where can I find out more?
Further information and a tool that can give you an indication of your liability can be found at:

http://www.businesslink.gov.uk/

Q.11 How are empty rate liabilities changing?

Click here for information about changes.