Business Rates Reform – Coming into Effect April 2026

In April 2026 the government is introducing two lower business rates multipliers for Retail, Hospitality and Leisure (RHL) properties. The multiplier applied to RHL properties will be reduced.

There will be two lower business rates multipliers for RHL properties with rateable values (RVs) below £500,000.

• Small business RHL multiplier – RVs under £51,000.
• Standard RHL multiplier – RVs £51,000 to £499,999.

Multiplier rates for these bandings will be:-

• Small Business RHL multiplier: 38.2p
• Standard RHL multiplier: 43.0p

While shops are included, it is important to note that farm parks may not automatically fall within the RHL category. Each case will need to be considered carefully against the Government’s criteria.

Further Guidance
Government guidance can be found here: https://www.gov.uk/guidance/business-rates-multipliers-qualifying-retail-hospitality-or-leisure

Need Expert Advice?

If you’re unsure how these changes may affect your property or business rates liabilities, we’re here to help:-

Barry Davies BSc (Agric), MRICS, FAAV, IRRV
Davies & Co., Chartered Surveyors
📞 01536 524808
📧 info@daviesandco.co.uk
🌐 www.daviesandco.co.uk