Skip to main content

Retail discount

In the 2018 Autumn Budget, the Government announced a business rates discount scheme for occupied retail properties with a rateable value of less than £51,000 for tax years 2019/2020 and 2020/2021.

This discount was one third off the bill for 2019/2020 and 50% off the bill for 2020/2021. This discount is applied to the bill after the application of any reliefs, excluding any local discounts.

Your business could qualify for a retail discount if it is a:

  • Shop
  • Restaurant
  • Pub
  • Bar
  • Cafe
  • Music venue
  • Cinema
  • Hospitality
  • Gym
  • Spa
  • Hotel
  • Casino

In response to the coronavirus, the government increased this discount for the financial year 1st April 2020 until 31st March 2021 to 100% with no limit on a properties rateable value.

Retail Discount for 2021/2022

For 2021/2022, the government announced a temporary extension of the Expanded Retail Discount (2020/2021) for 3 months for eligible businesses

From 1st April 2021 to 30th June 2021 - 100% discount of your business rates bill for these first 3 months of the tax year 2021/2022

From 1st July 2021 to 31st March 2022 - 66% discount off your business rates bill for the remainder of the 2021/2022 tax year up to a total value of £2 million

If your business was legally allowed to open during the period of national lockdown from 5th January 2021, the discount you receive for the period 1st July 2021 to 1st March 2022 will be capped at a total value of £105, 000 not £2 million.

Retail Discount for 2023/2024 and 2024/2025

The 2023/24 and 2024/2025 Retail, Hospitality and Leisure business rates relief scheme will provide eligible, occupied, retail, hospitality and leisure properties with a 75% relief, up to a cash cap limit of £110,000 per business.

State Aid

If you pay business rates on more than one occupied property you will be entitled to a discount for each eligible property in accordance with State Aid de Minimis limits. This is most likely to be relevant to premises that are part of a large retail chain and the amount of aid for each premises may accumulate and exceed the State Aid de Minimis limit.

Further information about State Aid guidance is available at GOV.UK

What do I need to do?

This temporary extension to Expanded Retail Discount 2021/2022 will be applied automatically and we will send you a revised bill.

If you wish to retain this discount and you have not exceeded State Aid de Minimis limits, you do need to contact us or complete a declaration form.

You are required to make a declaration if:

  • A discount has been applied to a property other than the one related to the letter and bill you receive from us, and the accumulation of this discount will not exceed State Aid de Minimis you will need to complete and submit Form A: cash cap declaration.
  • You have exceeded State Aid de Minimis limit AND/OR wish to refuse the retail discount you will need to complete and submit Form B: Refusal of Expanded Retail Discount Declaration.

Further information

For information about the 2022/2023 Retail, Hospitality and Leisure Relief Scheme read the local authority guidance here at GOV.UK

For information about the expanded retail discount scheme 2021/2022 read the local authority guidance here at GOV.UK

For information about the coronavirus response expanded retail discount scheme 2020/2021 read the previous local authority guidance here at GOV.UK

Feedback & Share