Business Rates - Anyone Have Any Idea??

[adz9]

Hey Guys,

Currently looking to rent a new unit and Im trying to find out what the hell I would pay rates wise. I know there is small business rates relief available but the guidance is totally crap.

Basically the relief is applied to the rateable value of the property. But is it before or after the multiplier is applied? It makes a huge difference!

Anyone know?

As illiustration, one property lists a rateable value of £21,500. With the multiplier for my business this becomes £12,083.

Small business rates in Wales help with properties under £13,000 rateable value.

Does it qualify or not???

[loafer123]

No.

[soxboy]

No

[adz9]

So the amount is pre multiplier?

[Puzzles]

yes

[2HFL]

I don’t know the rules in Wales, but I deal with this daily in England and a RV between £15k and up to £51k means you pay roughly half that amount in business rates (49.9p/£). A RV over £51k and you’re paying a whopping 54.6p/£.

[adz9]

Thanks for your reply mate. Yes in Wales it's 56.2p rather than 49.9p. But I'm not sure if the relief is based on this lower amount or the original amount.

[2HFL]

No worries.

Just took a look online and this page is pretty self-explanatory: https://businesswales.gov.wales/topics-and-guidanc...

As others have already stated, any relief is calculated on the original amount, ie £21,500 in your example.

[adz9]

Thanks again.

You'd think so, but then reading other Government information it's not so obvious.

[Puzzles]

Further down.


Example
Barbara has a business in England. The rateable value of her business property is £10,000, so she uses the 2023 to 2024 small business multiplier (49.9 pence) to estimate her business rates as follows:

£10,000 (rateable value) x £0.499 pence (multiplier) = £4,990 (basic business rates)

As her rateable value is less than £15,000, she may be able to reduce her bill by applying for small business rate relief.