Business Rates is also known as National Non Domestic Rates (NNDR).
Business Rates is a property tax on businesses and anything used for commercial purposes.
The rates bill of a property is determined by multiplying the rateable value by the ‘multiplier’. The rateable value is set by the Valuation Office Agency (VOA) and the multiplier is set annually, usually in March, by Central Government. What are the current multipliers?
Local Authorities collect the revenue from Business Rates. In England, the rates are partly pooled at Central Government level and redistributed to Local Authorities, and retained in part by billing authorities. This arrangement came into force on 1 April 2013 and known as the Business Rates Retention Scheme.
Business Rates Revaluation
The most recent revaluation came into effect on 1 April 2010. Non domestic properties are normally re-valued every five years, however, in England; the revaluation has been delayed until 1 April 2017, with the following revaluation due in 2022.
The revaluation is based on rental values at a specific date (the date is known as the antecedent valuation date) two years before the revaluation applies. For example, the 2010 rating list is based on rental values at 1 April 2008.
2012/13 Deferral Scheme
In September 2011 the retail price index rose by 5.6%, leading to an increase in the multipliers from 2012/13, 43.3 pence to 45.8 for the Standard Multiplier and 42.6 pence to 45.0 pence for the Small Business Multiplier. Following pressure, the Government introduced the deferral scheme which allowed 60% of the increase arising from the multiplier increase to be deferred to 2012/13 and 2013/14.
For more information on business rates use this link https://www.gov.uk/browse/business/premises-rates