Non-domestic rates are the way in which businesses and other occupiers of non-domestic property indirectly contribute towards the costs of local authority services.
Business rates (national non-domestic rates) are payable for most non-domestic properties; they are collected by the council, paid into a central pool and redistributed to local authorities to pay for services.
Rates payable are calculated by applying a ‘poundage’ or ‘multiplier’ to the rateable value. The multiplier is set annually by the Welsh Government and except in a revaluation year cannot rise by more than the increase in the Consumer Price Index (CPI). For 2022/23 and for the previous two financial years (2019/20 and 2020/21) the multiplier used is 0.535. The Welsh Government have now confirmed that the Non Domestic Rating Multiplier for 2023/24 will be frozen and will remain at 0.535
The Valuation Office Agency (VAO) values all business properties for business rates. The valuation is based on the information the VOA holds about your property and this Rateable Value is used by the council to calculate the business rates for the property. You can find more information at gov.uk/introduction-to-business-rates
Non Domestic Rates Revaluation 2023-2024
The next non-domestic rating list will come into force on 1st April 2023, following a revaluation exercise by the Valuation Office Agency (VOA). Click here for more information.
Business Rates Relief
There are various reliefs available that may reduce your business rate bill.
Small Business Rate Relief (SBRR) provides 100% relief for properties with a rateable value up to £6,000. For properties valued between £6,001 and £12,000 relief is tapered. There is no entitlement to this relief if the premises are empty.
Hardship Relief. Councils can grant relief to businesses who are experiencing hardship if it is in the interest of the local community to do so and if the ratepayer would sustain hardship if relief was not awarded. Applications should be made in writing and include evidence to support the request.
Our Business rates explanatory note explains some of the terms used on a non domestic rates demand.
Retail, Leisure and Hospitality Rates Relief in Wales – 2023/24
This relief is aimed at businesses and other ratepayers in Wales in the retail, leisure and hospitality sectors, for example shops, pubs and restaurants, gyms, performance venues and hotels.
The Welsh Government will provide grant funding to all 22 local authorities in Wales to provide the Retail, Leisure and Hospitality Rates Relief scheme to eligible businesses for 2023/24.
The scheme aims to provide support for eligible occupied properties by offering a discount of 75% on non-domestic rates bills for such properties. The scheme will apply to all eligible businesses; however, the relief will be subject to a cap in the amount each business can claim across Wales. The total amount of relief available is £110,000 across all properties occupied by the same business.
More detail on the scheme is available at https://businesswales.gov.wales
All businesses are required to make a declaration that the amount of relief they are seeking across Wales does not exceed this cap, when applying to individual local authorities.
Apply for the Retail, Leisure and Hospitality Rates Relief in Wales 2023/24 here (Application for Retail, Leisure and Hospitality Rates Relief in Wales – 2023-24)