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 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
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.
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 – 2022/23
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 2022-23.
The scheme aims to provide support for eligible occupied properties by offering a discount of 50% 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 2022/23 here.