Small Business Rate Relief (SBRR)

TEMPORARY INCREASE IN SMALL BUSINESS RATE RELIEF EXTENDED TO 31 MARCH 2013!

Up to 31 March 2013 eligible ratepayers with a rateable value of up to £6,000 will receive 100% relief. From 1 April 2013 onwards they will receive 50% relief. Eligible ratepayers with a rateable value between £6,001 and £12,000 will get relief on a sliding scale between 100% & 0% up to 31 March 2013 and between 50% & 0% from 1 April 2013 onwards.

Small Business Rate Relief (SBRR), provides both a reduced multiplier and a percentage reduction in the rates payable for qualifying businesses. For 2012/13, the small business multiplier is 45.0p (the standard rate multiplier is 45.8p).

Ratepayers who are not entitled to another mandatory relief or are liable for unoccupied property rates and occupy a property with a rateable value which does not exceed £17,999 will have their bill calculated using the lower small business non-domestic rating multiplier, rather than the national non-domestic rating multiplier.

In addition, if the ratepayer’s sole or main property has a rateable value which does not exceed £11,999, the ratepayer can receive a percentage reduction in the rates bill for this property. In 2012/13 eligible ratepayers with a rateable value of up to £6,000 receive 100% relief and those with a rateable value between £6,001 and £12,000 will get relief on a sliding scale between 100% & 0%.

The percentage reduction is only available to ratepayers who occupy either:

(a) one property, or

(b) one main property and other additional properties providing those additional properties each have a rateable value which does not exceed £2,599.

The rateable value of the property mentioned in (a), or the aggregate rateable value of all the properties mentioned in (b), must not exceed £17,999 on each day for which relief is being sought. If the rateable value, or aggregate rateable value, increases above those levels, relief will cease from the day of the increase.

Where a ratepayer meets the eligibility criteria an application form can be provided by the Council. Provided the ratepayer continues to satisfy the conditions for relief they will automatically continue to receive relief in each new valuation period.

Changes in circumstances must be notified to the local authority by a ratepayer who is in receipt of relief. The changes which should be notified are:

(a) the ratepayer taking up occupation of an additional property, or

(b) an increase in the rateable value of a property occupied by the ratepayer in an area other than the area of the local authority which granted the relief.

Notification of these changes must be given to the Council within 4 weeks of the day after the day on which the change happened. If this happens, there will be no interruption to the ratepayer’s entitlement to the relief.

Level of relief and charges for qualifying properties 2012/13

Rateable Value (RV)	Multiplier used to calculate charge	% Relief
£1 to £5,999	45.0p small business multiplier	50% (temporarily 100% until 31 March 2013 and 50% thereafter)
£6,000 to £11,999	45.0p small business multiplier	relief percentage declines on a sliding scale from 50% to 0% (temporarily 100% to 0% until 31 March 2013 and between 50% and 0% thereafter).
£12,000 to £17,999	45.0p small business multiplier	no relief
Other	45.8p standard rate multiplier	no relief

Applying for Small Business Rate Relief

You cannot claim SBRR if you are also eligible for mandatory rate relief
e.g. charities, community sports clubs etc.
You must meet the criteria on every chargeable day for which you are claiming relief.
The property must be occupied.

If you want to apply for Small Business Rate Relief please fill in an application form (236KB - 09 November 2011 - PDF Help) and send it to us at the address shown. If you need more information, please phone the Business Rates team on 01395 517445 or visit www.businesslink.gov.uk