Transitional and supporting small business
Transitional Relief
Transitional relief limits how much your bill will go up as a result of the revaluation. This means if your business is eligible for transitional relief, the increases to the business rates bill will be phased in gradually.
The below table shows the percentage increases applied to phase in your bill over the next three years:
|
Rateable Value |
2023-2024 |
2024-2025 |
2025-2026 |
|---|---|---|---|
|
Up to £28,000 |
5% |
10% plus inflation |
25% plus inflation |
|
£28,000 to £100,000 |
15% |
25% plus inflation |
40% plus inflation |
|
Over £100,000 |
30% |
40% plus inflation |
55% plus inflation |
If your bill is increasing from 1 April 2026 to 31 March 2029
|
Rateable Value |
2026-2027 |
2027-2028 |
2028-2029 |
|---|---|---|---|
|
Up to £20,000 (£28,000 in London) |
5% |
10% plus inflation |
25% plus inflation |
|
£20,001 (£28,001 in London) to £100,000 |
15% |
25% plus inflation |
40% plus inflation |
|
Over £100,000 |
30% |
25% plus inflation |
25% plus inflation |
Supporting small business relief
You can get supporting small business relief if both of the following apply:
- Your business property’s bill will increase when the next revaluation happens on 1 April 2026
- You’ve lost some or all of your small business rate relief, rural rate relief, retail hospitality and leisure relief or 2023 supporting small business relief
What you’ll get
If you’re eligible, your bills will go up by no more than £800 or the percentage caps listed in the table (whichever is greater) for the 2026 to 2027 tax year.
|
Rateable Value |
2026 to 2027 |
|---|---|
|
Up to £20,000 (£28,000 in London) |
5% |
|
£20,001 (£28,001 in London) to £100,000 |
15% |
|
Over £100,000 |
30% |
This is compared to your bill in 2025 to 2026 and includes the following:
- Any small business rate relief
- Rural rate relief
- Retail hospital and leisure relief
- 2023 supporting small business relief