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
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:
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 | - |
How to Apply for SBRR
- Contact your local council's business rates team
- Complete the Small Business Rate Relief application form
- Confirm you meet the eligibility criteria
- 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 |
Frequently Asked Questions
Related Business Calculators
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.
Are the results accurate?
Our calculators use verified formulas and are regularly updated for accuracy.
Can I use this on mobile?
Yes, all calculators are fully responsive and work on any device.
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Official Sources
How to Use This Business Rates Calculator
Follow these five simple steps to estimate your annual business rates bill:
- Enter your property's rateable value — You can find your rateable value on the GOV.UK website by searching your postcode and property address.
- 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.
- 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.
- View your annual business rates bill — The calculator will display your gross rates, any relief deductions, and your net annual liability.
- 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
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
- GOV.UK — Introduction to Business Rates
- GOV.UK — Find and Check Your Rateable Value
- GOV.UK — Small Business Rate Relief
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
- 100% relief for properties with a rateable value of £12,000 or less
- Tapered relief for rateable values between £12,001 and £15,000, decreasing on a sliding scale from 100% to 0%
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.
Official Sources & References
Data verified against official UK government sources. Last checked July 2026.