Small Business Rate Relief Scheme

Increase in level of Small Business Rate Relief

In the autumn statement on 29 November 2011 it was announced that the temporary increase in Small Business Rate Relief, which started on 1 October 2010 and was due to end on 30 September 2012, will now continue until 31 March 2013.

In addition all properties that are occupied and fall within the Scope of the Small Business Rate Scheme will have the Small Business Rate Relief rate poundage of 45.0 pence in the pound applied to the account regardless of the number of properties they occupy.

Outline of the scheme

Eligible properties with a rateable value of less than £6,000 will get 50% rate relief. This will decrease on a sliding scale of 1% for every £120 below £12,000 rateable value.

Eligible properties with a rateable value from £12,000 to below £25,500 within Greater London, will have rate relief of 0%, but will benefit in that their bill will be calculated using the lower rating multiplier.

All eligible properties will have their bill calculated using the lower small business rating multiplier instead of the standard one.

If a ratepayer is eligible for charity relief then they receive that relief rather than small business rate relief. Transitional relief is applied before the small business rate relief is applied.

Eligibility criteria

The property must have a rateable value below £25,500, in Greater London, and must meet the criteria on 1 April of the relevant chargeable year and on every chargeable day for which they are claiming eligibility.

The rate relief is only available to ratepayers with either

• one occupied property, or
• one main occupied property and other additional occupied properties providing those additional properties have rateable values less than £2,600 and the total value all the properties remains under an overall threshold of £25,500.

Please note: If you make a backdated claim under the Small Business Rate Relief Scheme after 1 October 2010, the furthest your claim can be backdated is to 1 April 2010.

Calculation of the bill - changes through the Year

The relief will be applied to one property only.

The bill will be calculated for each chargeable day for which it remains eligible. As soon as a ratepayer fails to meet the criteria above, they are no longer due the relief.

Application and registration

Download the application form for Small Business Rate Relief here.(pdf, 42KB)

Please send your completed application form to the Business Rates Team at Civic Centre, 44 York Street, Twickenham, TW1 3BZ