Business Rates Calculator UK 2026/27

Last updated: July 2026

This free Business Rates Calculator UK 2026/27 works out your annual business rates bill from your rateable value, using the new 2026/27 England multipliers — including the lower Retail, Hospitality & Leisure (RHL) rates that replaced the old 40% relief scheme — plus Small Business Rate Relief and Charitable Relief. Verified against the latest GOV.UK and Valuation Office Agency (VOA) figures.

Business Rates Calculator

Estimate your annual rates bill

Find Your Rateable Value Search for your property's rateable value on the VOA website. Enter your postcode and property address to find your current RV.

Business Rates Calculator UK 2026/27: How It Works

Business rates (Non-Domestic Rates) are a property tax paid by occupiers of non-residential properties in England and Wales. The amount you pay is based on your property's rateable value, set by the Valuation Office Agency (VOA), multiplied by a rate (the "multiplier") set annually by the government. Our Business Rates Calculator UK 2026/27 does this maths for you — including the new Retail, Hospitality & Leisure (RHL) multipliers that replaced the old 40% relief — then deducts any reliefs you are entitled to so you can see your real annual, monthly and weekly bill.

How Business Rates are Calculated

Your annual business rates bill is calculated using this simple formula:

Business Rates = Rateable Value × Multiplier For example: £20,000 RV × 0.432 (small business, non-RHL) = £8,640 per year

From this gross figure, you may be able to deduct various reliefs and exemptions. Following the 1 April 2026 revaluation, the multipliers published on GOV.UK for 2026/27 are:

Multiplier Type England Wales Applies To
Small Business 43.2p 50.2p (standard) RV below £51,000
Small Business RHL 38.2p 35.0p (retail shops) RV below £51,000, retail/hospitality/leisure
Standard 48.0p 50.2p RV £51,000–£499,999 (England) / most Welsh properties
Standard RHL 43.0p n/a RV £51,000–£499,999, retail/hospitality/leisure (England only)
Large / Higher 50.8p 51.5p RV £500,000+ (England) / RV above £100,000 (Wales)

*England's Retail, Hospitality & Leisure (RHL) multipliers permanently replaced the old 40%-off relief scheme from 1 April 2026. Wales uses a narrower "retail multiplier" for small shops only (not hospitality/leisure), plus separate standard and higher multipliers.

What is Rateable Value?

Rateable value (RV) is an estimate of the annual rent your property could achieve on the open market at a specific date. For the current rating list (2026-2029), this date is 1 April 2024. The VOA considers:

  • Size and layout - Floor area and internal configuration
  • Location - Prime high street vs. secondary location
  • Physical characteristics - Age, condition, and facilities
  • Use class - Retail, office, industrial, warehouse, etc.
  • Comparable rents - Actual rents paid for similar properties

Available Business Rates Reliefs

The UK government offers several relief schemes to reduce business rates bills. Eligibility depends on your property type, rateable value, and business circumstances. If you also run a limited company, it is worth checking your Corporation Tax and VAT liabilities alongside your rates.

Small Business Rate Relief Up to 100%

For small businesses with property RV of £15,000 or less. Must be your only or main business property.

  • 100% relief: RV ≤ £12,000
  • Tapered relief: RV £12,001-£15,000
  • Small multiplier only: RV £15,001-£51,000

Retail, Hospitality & Leisure Lower Multiplier

From 2026/27, eligible England properties pay a permanently lower RHL multiplier (38.2p or 43.0p) instead of the old 40% relief, applied automatically — no application needed.

  • Shops and retail outlets
  • Restaurants, cafes, pubs
  • Hotels and B&Bs
  • Cinemas, leisure venues

Charitable Relief 80-100%

Registered charities and Community Amateur Sports Clubs (CASCs) receive mandatory relief.

  • 80% mandatory relief
  • Up to 20% discretionary (local authority)
  • Property must be used for charitable purposes

Rural Rate Relief 50-100%

For businesses in designated rural settlements with population under 3,000.

  • Only village shop/post office/pub
  • Food shops: RV ≤ £8,500
  • General stores/pubs: RV ≤ £12,500

Empty Property Relief Temporary

Empty commercial properties are exempt from rates for a limited period.

  • 3 months for most properties
  • 6 months for industrial/warehouse
  • Listed buildings: 100% exempt
  • RV below £2,900: 100% exempt

Transitional Relief Automatic

Limits increases (and decreases) following revaluations. Applied automatically to bills.

  • Caps annual bill increases
  • Protects against sudden rises
  • Runs for duration of rating list

Small Business Rate Relief (SBRR) Explained

Small Business Rate Relief is the most common relief claimed by UK businesses. To qualify, your property must have a rateable value of £15,000 or less, and it must be your sole or main business premises. You can model your specific figure in detail with our dedicated Small Business Rates Relief Calculator.

SBRR Relief Percentages

Rateable Value Relief % Effective Rate Example (RV £10,000)
£0 - £12,000 100% £0 £0 per year
£12,001 100% £0 -
£13,000 67% ~£1,872 -
£14,000 33% ~£4,032 -
£15,000 0% ~£6,480 -
Important SBRR Conditions You can only claim SBRR if this is your only business property OR if all your additional properties have a combined RV below £2,900. Having additional properties above this threshold disqualifies you from SBRR entirely.

How to Apply for SBRR

  1. Contact your local council's business rates team
  2. Complete the Small Business Rate Relief application form
  3. Confirm you meet the eligibility criteria
  4. Relief is applied from the date of occupation or application

Business Rates Revaluation 2026

The most recent revaluation took effect on 1 April 2026. This updated all rateable values based on rental values as of 1 April 2024, and introduced the new Retail, Hospitality & Leisure multipliers described above. The UK has moved to a 3-year revaluation cycle to better reflect market changes.

Revaluation Timeline

April 2017 Revaluation

Based on 2015 rental values. Created current rating list for 2017-2023.

April 2023 Revaluation

Based on April 2021 rental values. Rating list ran 2023-2026.

April 2026 Revaluation (Current)

Based on April 2024 rental values. Current rating list for 2026-2029, introducing the new RHL multipliers.

April 2029 Revaluation (Scheduled)

Will be based on April 2027 rental values, continuing the 3-year cycle.

Challenging Your Rateable Value

If you believe your rateable value is incorrect, you can challenge it through the Check, Challenge, Appeal process:

Step 1: Check

Verify your property details on the VOA website. Check the property description, floor areas, and any features that might affect the value. Notify the VOA of any errors.

Step 2: Challenge

If you still disagree after checking, submit a formal challenge. You must provide evidence why the RV is wrong, such as comparable rental evidence or property changes.

Step 3: Appeal

If your challenge is rejected and you still disagree, you can appeal to the independent Valuation Tribunal. There's a fee and strict time limits apply.

Paying Your Business Rates

Business rates are collected by your local council (billing authority). Most councils offer flexible payment options:

Payment Method Frequency Notes
Direct Debit 10 or 12 instalments Most convenient, automatic collection
Standing Order Monthly You control payment dates
Online Payment As required Credit/debit card, bank transfer
Telephone As required Card payment over phone
PayPoint/Post Office As required Cash or card at local outlets
Late Payment Consequences If you don't pay on time, your council will send reminders and may take enforcement action including court summons, liability orders, and potentially bailiffs. Contact your council immediately if you're struggling to pay.

Frequently Asked Questions

For 2026/27, England has five multipliers depending on rateable value and business type. If your rateable value is below £51,000: 43.2p standard, or 38.2p if you qualify for the retail, hospitality and leisure (RHL) rate. Between £51,000 and £499,999: 48.0p standard, or 43.0p RHL. £500,000 or more: a flat 50.8p regardless of use. In Wales, a standard multiplier of 50.2p applies to most properties, a lower 35.0p retail multiplier applies to small shops below £51,000, and a higher 51.5p multiplier applies above £100,000.
Small Business Rate Relief provides 100% relief for properties with a rateable value of £12,000 or less, meaning you pay no business rates at all. For rateable values between £12,001 and £15,000, tapered relief applies on a sliding scale. To qualify, you must only use one property as your main business premises, or have additional properties with a combined RV below £2,900.
Rateable value is set by the Valuation Office Agency (VOA) based on the open market rental value of your property as of a specific date — for the current 2026 rating list (2026-2029), this is 1 April 2024. The VOA considers factors including property size, location, age, condition, parking facilities, and use type. You can check your rateable value on the GOV.UK website.
Yes, you can challenge your rateable value through the Check, Challenge, Appeal process. First, check your property details on the VOA website for errors in the description or measurements. If still incorrect, submit a formal challenge with evidence such as comparable rental data. If your challenge is rejected, you can appeal to the independent Valuation Tribunal, though fees apply.
From 1 April 2026, the old 40%-off RHL relief scheme was replaced by permanently lower RHL multipliers built directly into the bill. Eligible shops, restaurants, cafes, pubs, hotels, B&Bs, cinemas and leisure venues pay 38.2p (rateable value below £51,000) or 43.0p (£51,000–£499,999) instead of the standard 43.2p/48.0p multipliers, applied automatically by your council rather than claimed as a relief.
Registered charities and Community Amateur Sports Clubs (CASCs) receive mandatory 80% relief on business rates for properties used wholly or mainly for charitable purposes. Local authorities can also grant discretionary relief of up to an additional 20%, potentially giving 100% relief. Charity shops selling donated goods for charity purposes also qualify.
Empty commercial properties are exempt from business rates for 3 months from the date they become empty (6 months for industrial properties such as warehouses). After this exempt period, you pay full business rates. Some properties remain exempt: listed buildings, properties with RV below £2,900, properties where the owner is in administration or liquidation, and properties prevented from being occupied by law.
The most recent revaluation took effect on 1 April 2026, based on rental values as of 1 April 2024, and introduced the new RHL multipliers. Following the move to a 3-year revaluation cycle, the next revaluation is scheduled for 1 April 2029, based on April 2027 rental values.
Enter your property's rateable value from the VOA, choose England or Wales, and select the property type. The calculator automatically applies the correct 2026/27 multiplier — including the lower RHL rate for eligible retail, hospitality and leisure properties — plus Small Business Rate Relief, Charity Relief or Rural Rate Relief that you tick, and shows your annual, monthly and weekly bill.
Business rates are calculated by multiplying your property's rateable value by the relevant multiplier, then subtracting any reliefs. For example, a property in England with a £20,000 rateable value (non-RHL) uses the small business multiplier: £20,000 × 0.432 = £8,640 per year before any relief. Properties with a rateable value of £500,000 or more pay a flat 50.8p instead.
No. This Business Rates Calculator UK 2026/27 covers England (five multipliers from 38.2p to 50.8p depending on rateable value and RHL eligibility) and Wales (retail 35.0p for small shops, standard 50.2p, higher 51.5p above £100,000). Scotland and Northern Ireland set their own non-domestic rates poundage and reliefs separately, so the figures there will differ.
Usually not. If you use a small part of your home for business, you normally pay only Council Tax. You may become liable for business rates if you sell goods or services to people who visit your property, employ staff there, or have adapted part of the property exclusively for business use. The VOA decides whether a separate rateable value applies to the business part.
UC

Reviewed by: UK Calculator, Founder & Developer

Founder & Developer - UKCalculator.com

The UK Calculator team is the founder and developer of UKCalculator.com, providing free, accurate calculators for UK residents.

Last updated: July 2026 | Rates data verified against GOV.UK 2026/27 multipliers

Sources Checked — This calculator is reviewed by Mustafa Bilgic and updated regularly with the latest UK business rates multipliers and reliefs from GOV.UK and the Valuation Office Agency. Last verified: July 2026.

Understanding Your Results

Our Business Rates Calculator provides:

  • Instant calculations - Results appear immediately
  • Accurate formulas - Based on official UK standards
  • Clear explanations - Understand how results are derived
  • 2026/27 updated - Using current rates and regulations
Common Questions

Is this calculator free?

Yes, all our calculators are 100% free to use with no registration required.

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Our calculators use verified formulas and are regularly updated for accuracy.

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How to Use This Business Rates Calculator

Follow these five simple steps to estimate your annual business rates bill:

  1. Enter your property's rateable value — You can find your rateable value on the GOV.UK website by searching your postcode and property address.
  2. Select the current multiplier — In England, the 2026/27 multipliers range from 43.2p (small business, below £51,000) to 50.8p (£500,000+), with lower RHL rates (38.2p/43.0p) for eligible retail, hospitality and leisure properties. The calculator picks the correct one automatically based on the rateable value and property type you enter.
  3. Check if you qualify for Small Business Rate Relief — If your rateable value is £15,000 or less and this is your only or main business property, tick the SBRR box to apply the relief automatically.
  4. View your annual business rates bill — The calculator will display your gross rates, any relief deductions, and your net annual liability.
  5. See your monthly payment amount — Your annual bill is divided by 12 to show the approximate monthly cost, helping you plan your cash flow.

Worked Examples: Business Rates 2026/27

These examples show how business rates are calculated under the new 2026/27 multipliers for different property types and rateable values:

Example 1: Small Shop

Rateable value: £10,000

With a rateable value under £12,000, this property qualifies for 100% Small Business Rate Relief.

Business rates = £0 per year

Example 2: Office

Rateable value: £20,000

This property uses the small business multiplier (43.2p) as the RV is below £51,000 and it's not RHL-eligible. No SBRR applies since RV exceeds £15,000.

Calculation: £20,000 × 0.432 = £8,640 per year

Annual rates = £8,640 (£720/month)

Example 3: Large Office Unit

Rateable value: £60,000

With a rateable value of £51,000 or more (and below £500,000), the standard multiplier (48.0p) applies. This matches GOV.UK's own published example for a non-RHL property of this size.

Calculation: £60,000 × 0.48 = £28,800 per year

Annual rates = £28,800 (£2,400/month)

Example 4: Tapered Small Business Rate Relief

Rateable value: £14,000 (between £12,000 and £15,000)

For rateable values between £12,001 and £15,000, Small Business Rate Relief is tapered. The relief percentage decreases from 100% to 0% on a sliding scale.

Relief calculation: (15,000 − 14,000) ÷ (15,000 − 12,000) × 100 = 33.3% relief

Gross rates: £14,000 × 0.432 = £6,048

Relief amount: £6,048 × 33.3% = £2,016

Net annual rates = £4,032 (£336/month) — saving £2,016 with tapered SBRR

Example 5: Café with the RHL Multiplier

Rateable value: £30,000 (a café, eligible for the Retail, Hospitality & Leisure rate)

The rateable value is below £51,000, so the lower small business RHL multiplier (38.2p) applies automatically — there's no relief to claim, unlike the old 40%-off scheme.

Calculation: £30,000 × 0.382 = £11,460 per year

A non-RHL business of the same size would pay the standard small business multiplier (43.2p): £30,000 × 0.432 = £12,960 — so the RHL multiplier saves this café about £1,500 a year.

Net annual rates = £11,460 (£955/month) under the RHL multiplier

Verify your figure against your bill The worked examples above use the official GOV.UK 2026/27 multipliers (England: 43.2p/48.0p standard, 38.2p/43.0p RHL, 50.8p over £500,000). Your council also applies transitional arrangements, supporting small business relief and local discretionary reliefs that this Business Rates Calculator UK 2026/27 estimate cannot fully reproduce, so always confirm the exact charge on your council bill or via GOV.UK.

Sources & Methodology

This calculator uses official data published by the UK Government and the Valuation Office Agency (VOA). All rates and thresholds are verified against the following sources:

Official References

2026/27 Multipliers Used

Multiplier Rate
Small business, non-RHL (England, RV <£51k) 43.2p
Small business, RHL (England, RV <£51k) 38.2p
Standard, non-RHL (England, £51k-£499,999) 48.0p
Standard, RHL (England, £51k-£499,999) 43.0p
Large property (England, RV £500,000+) 50.8p
Retail multiplier (Wales, small shops <£51k) 35.0p
Standard multiplier (Wales) 50.2p
Higher multiplier (Wales, RV >£100,000) 51.5p

England's RHL multipliers permanently replaced the old 40%-off Retail, Hospitality & Leisure relief scheme from 1 April 2026.

Small Business Rate Relief (SBRR) Thresholds

Disclaimer: This calculator provides estimates for guidance purposes only. Actual business rates bills may vary depending on transitional relief arrangements, local authority discretionary reliefs, and individual circumstances. Always check with your local council or a qualified professional for definitive figures. We are not affiliated with HMRC or the Valuation Office Agency.

Related: Small Business Rates Relief Calculator

Official Sources & References

Data verified against official UK government sources. Last checked July 2026.

Official UK Sources

Multipliers and reliefs match the latest gov.uk and Valuation Office Agency business rates guidance:

Last reviewed: July 2026 against gov.uk/VOA 2026/27 rates.