Changes to Business Rates in England 2026

Appeal My Rates UK

What Happened in the Budget in November?

The world of business rates in England saw the biggest overhaul since before Covid with many changes to multipliers and support schemes. Some of the changes will undoubtedly have an adverse effect on businesses which are also seeing rises in the actual rateable values of their properties. The government did introduce some support and relief schemes to soften the blow but its fair to say that in a lot of cases businesses are going to be worse off come April 1^st 2026.

The main changes are to multipliers. At present there are just 2 but from April there will be 5 in total as follows:

Lower RHL Multiplier of 38.2p applying to qualifying retail, hospitality and leisure businesses with a rateable value under £51,000

Higher RHL Multiplier of 43p to those above £51,000 and below £500,000

Standard Multiplier of 43.2p applying to all other businesses below £51,000

National Multiplier of 48p to all others above £51,000 and below £500,000

Higher Multiplier of 50.8p for all properties with a rateable value over £500,000

For the financial year 2026-27 there will also be an additional 1p supplement added.

These multipliers are all lower than the current year but with the 40% retail discount ending on March 31^st next year there will some big losers out there.

The relief schemes are very complex, more so than in any other previous budget and local councils will struggle to get it right. We have developed our own software to calculate liabilities and will be engaging with councils as soon as the legislation is published in January to ensure our clients get all the reliefs they are eligible for.

In simple terms, if you currently get retail relief, rural relief, supporting small business relief or small business relief you should pay no more than £800 more next year than you currently pay or the transitional relief amount if it applies – whichever is the greater.

There are far too many variables and technical rules to go into any more detail here but if you want to find out what you will be paying next year then please get in touch for a free assessment from us.

What is happening to business rates from April 1st 2026

1st April 2026 will see the 2nd revaluation of rateable values in England and Wales go live in this new 3 year revaluation era and all properties on the rating list had their rateable values changed. This was done by the Valuation Office Agency (VOA) which is a branch of HMRC. They value properties based on rental evidence collected during the years leading up to revaluation. The last revaluation took place in 2023.

Why have some rates gone up but others have gone down?

The date set as the benchmark for this revaluation was in 2024, with the effects of Covid on the rental markets now over, rents have risen, especially in the retail, hospitality and leisure sectors so expect to see some large rises there. Demand for industrial space has also been strong, especially warehousing and rateable values have once again risen to reflect this.

Can I challenge the current new rates?

Yes. If you have a case you can submit a challenge via the VOA`s check challenge process but we would always advise that you seek advice first as rates can go up as well as down if you challenge them. Contact us for a free appraisal and if you have a case we will propose a contract with success fees related to savings in rates payable.

Can I challenge the old rates in the 2023 list?

Only if submit a check proposal before 31 March 2026. After that date the list was closed and cannot be altered with a new proposal.