Small Business Rate Relief Scheme

Outline of the Scheme

Eligible properties with a rateable value of less than £5,000 will get 50% rate relief. This will decrease on a sliding scale of 1% for every £100 below £10,000 rateable value.

Eligible properties with a rateable value from £10,000 to below £21,500 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 £21,500, 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 £2,200 and the total value all the properties remains under an overall threshold of £21,500.

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.

Charge on the other properties

The charge on the other additional properties (each under £2,200) will be based on the higher non-domestic rating multiplier.

Buffer Zone

Properties in the buffer zone (RV from £10,000 to £21,499) must apply for the relief. The same eligibility criteria apply.

Application and Registration

The application form for Small Business Rate Relief(pdf, 31KB) is available for download.

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

From 1 April 2007 you will only need to make one application to cover the period to 31 March 2010

If the rateable value is altered, applications may be accepted up to six months after the date of notification of the alteration.