How we calculate your business rates

Business premises are given a rateable value. The amount of business rates payable is calculated using the rateable value and the multiplier, which is set by the Government.

Rateable value

The rateable value of your premises is shown on the front of your bill. This represents the annual rental value of the premises on the open market, on a particular date.

The rateable value is set by the Government's Valuation Office Agency (VOA). You can check the current rateable value of your property on the VOA website using the link below.

Appeals

If you believe your rateable value is wrong, you can appeal against it to the VOA. See the frequently asked questions about appeals on the VOA website using the link below.

Multipliers

We work out your business rates by multiplying the rateable value of the property by either:

• the standard non-domestic rating multiplier
• or the small business non-domestic rating multiplier

The current multipliers are shown on the front of your bill.

The Government sets these multipliers for each financial year in line with inflation. By law, these multipliers cannot go up by more than the rate of inflation (apart from minor adjustments to counteract losses from appeals and to pay for small business rate relief).

Transitional arrangements

We calculate any transitional relief you are entitled to and include this in your business rates bill.

Rateable values are reassessed every five years. Property values normally change between each revaluation, in line with rental values. Transitional arrangements help phase in the effects of these changes by limiting increases or decreases in bills. These limits set by Central Government represent the percentage by which your rates bill can change each year. As follows:

Limits on Decreases

Year	Small property	Large property
2010/11	20%	4.60%
2011/12	30%	6.70%
2012/13	35%	7%
2013/14	55%	13%
2014/15	55%	13%

Limits on Increases

Year	Small property	Large property
2010/11	5%	12.50%
2011/12	7.50%	17.50%
2012/13	10%	20%
2013/14	15%	25%
2014/15	15%	25%

• Small Property (RV less than £18,000)
• Large Property (RV £18,000 or more)

In addition your bill will increase each year in line with inflation and will include a supplement if you are not receiving Small Business Rate Relief.

If further clarification is required, please contact the Business Rates Section.