Business rate calculations

The council works out the business rates bill by multiplying the rateable value of the property by the appropriate multiplier.

The government sets the multipliers for each financial year for the whole of England. The multipliers change each year in line with inflation and to take account of the cost of small business rate relief.

The current multipliers are shown on the front of your rates bill.

Download explanatory notes for business rates 2011/2012 (Word, 174 kb)

‘Rateable value’

Apart from properties that are exempt from business rates, each business property has a rateable value which is set by the valuation officers of the Valuation Office Agency (VOA), an agency of Her Majesty’s Revenue and Customs.

It draws up and maintains a full list of all rateable values. The rateable value of your property is shown on the front of your bill.

The valuation officer may alter the value if circumstances change. The ratepayer (and certain others who have an interest in the property) can also appeal against the value shown in the list if they believe it is wrong. Further information about the grounds on which appeals may be made and the process for doing so can be found on the VOA website or from your local valuation office.

Revaluation of properties

All business properties are re-valued every five years and the current rating list came into effect on 1 April 2010. This revaluation can result in an increase or decrease in your rates charge. However, any large increases or reductions in charges are phased in gradually. Find out more about transitional relief.

Additionally, the valuation officer may alter the value if he/she believes that the circumstances of the property have changed.

Appeals against the rateable value of a property

You can appeal against the valuation officer’s estimate of the rateable value of a property, if you believe it is wrong. You can get further information on the grounds for making an appeal, and on how to make one, on the VOA website.

Rating advisers

Ratepayers do not have to be represented in discussions about their rateable value or their rates bill. Appeals against rateable values can be made free of charge.

If you want to employ a rating adviser, you should check that they have the necessary knowledge and expertise, as well as appropriate indemnity insurance. Take great care and, if necessary, seek further advice before entering into any contract.