How Business Rates are Calculated - Business Rates
Non-Domestic Rates, or business rates are calculated by multiplying the Rateable Value (RV) of the business premises by the Rate on the Pound/Multiplier.
Rateable Value
Every non-domestic premises is given a rateable value which is decided by the Valuation Office Agency. The Valuation Office Agency compiles and maintains a full list of all rateable values in England and Wales.
Rateable values are reassessed, or revalued, every five years to bring them in line with current market values. The next revaluation will come into effect from 1 April 2023. Further information can be found here Revaluation 2023 customer advice
The rateable value of your property is shown on the front of your Business Rates Bill. The rateable value broadly represents the yearly rent the property could have been let for on the open market at a particular date. For the revaluation that came into effect on 1 April 2023, this date was set as 1 April 2021.
The Rating List and further information about rateable values is available from the GOV.UK - Valuation Office Agency (opens new window).
Business Rate Multipliers
Before the start of each financial year the Government sets two Business Rate Multipliers for the whole of England.
| Business Rate Multipliers 2023/24 | Amount |
|---|---|
| Standard Rating Multiplier | 51.2p |
| Small Business Multiplier | 49.9p |
| Business Rate Multipliers 2022/23 | Amount |
|---|---|
| Standard Rating Multiplier | 51.2p |
| Small Business Multiplier | 49.9p |
As set out in the Autumn statement published on 17 November 2022, the Government has decided to freeze the business rates multipliers in 2023/24.
In the year of a revaluation, the standard multiplier is set at a level which will keep the total amount raised in rates after the revaluation the same as before, plus inflation for that year. The current multipliers are shown on the front of your bill.
Example Business Rates calculation
Non-Domestic Rates, or Business Rates are calculated by multiplying the Rateable Value (RV) of the business premises by the Rate on the Pound/Multiplier,
- e.g. £50,000 (RV) x 0.512 (51.2p Standard Rating Multiplier) = £25,600
Estimate your Business Rates Bill
You can estimate your Business Rates bill using the estimator here, see GOV.UK - Estimate your business rates (opens new window).
Any figures that the estimator provide are only estimates. Your exact liability will be on your Business Rate Bill from Basildon Council.