Business rates relief
Transitional relief
Transitional relief limits how much your bill can change each year as a result of business rates revaluation.
From the 2023 to 2024 tax year you’ll get transitional relief if your rates go up or down by more than a certain amount. This means changes to your bill are phased in gradually.
Your council will adjust your bill automatically if you’re eligible.
How much your bill can change by
How much your bill can change by from one year to the next depends on both:
-
your property’s rateable value
-
whether your bill is increasing or decreasing as a result of revaluation
You stop getting transitional relief when your bill reaches the full amount set by a revaluation.
The business rates year is from 1 April to 31 March the following year.
If your bill is increasing from 1 April 2023
| Rateable value | 2023 to 2024 | 2024 to 2025 | 2025 to 2026 |
|---|---|---|---|
| Up to £20,000 (£28,000 in London) | 5% | 10% plus inflation | 25% plus inflation |
| £20,001 (£28,001 in London) to £100,000 | 15% | 25% plus inflation | 40% plus inflation |
| Over £100,000 | 30% | 40% plus inflation | 55% plus inflation |
If you’ve received a transitional certificate
The transitional certificate value will be used in the business rates calculation for your property instead of the usual rateable value.
If you disagree with the value of the certificate, contact the Valuation Office Agency (VOA).
If you need help
Contact your local council if you have questions about transitional relief.