Supporting small businesses relief

Who is entitled to the relief?

Some ratepayers lost their entitlement to small business rate relief or rural rate relief following the 2017 revaluation.

Other relief is available for ratepayers facing large increases as a result of the loss of small business or rural rate relief due to the revaluation.

To get the supporting small businesses relief, ratepayers must meet the criteria below:

 ✔ on 31 March 2017 ratepayers must have been receiving either small business rate relief or rural rate relief

 ✔ on 1 April 2017 ratepayers must have lost some or all of their small business or rural rate relief because of the 2017 revaluation. As a result of this, the chargeable amount for 1 April 2017 is more than (£600/365) higher than the chargeable amount for 31 March 2017. This is worked out before any Section 47 discretionary relief entitlement)

You are no longer eligible for the relief when:

✗ liability for a day calculated without supporting small businesses relief is the same as, or less than, the calculation with the relief

✗ the ratepayer is a charity or Community Amateur Sports Club

✗ a property is unoccupied

 Once lost, eligibility cannot be replaced. 
 
A change of ratepayers does not affect eligibility for the supporting small businesses relief scheme. There is no second property test for eligibility for the scheme.

How we work out the relief

Supporting small businesses relief is available for 2017/18 to 2021/22 only. It is subject to state aid de minimis rules.

We will work out the relief and apply any other relief after supporting small businesses relief.
 
The increase per year for eligible ratepayers is the greater of a specified percentage plus inflation or £600 per year. 

Specified percentages for supporting small businesses relief

YearSpecified percentage
2017/185 %
2018/197.5 %
2019/2010 %
2020/2115 %
2021/2215 %

 

Ratepayers on the supporting small businesses relief scheme whose 2017 rateable values are £51,000 or more will not be liable to pay the supplement to fund small business rate relief.
 
Ratepayers stay in the supporting small businesses relief scheme for five years. Or until they reach the bill they would have paid without the scheme.   
 
If there is a change of circumstances at any time, we will work out the relief again. The change of circumstances could happen during the year in question or during a later year. 
 
Separate rules apply where there is a change in rateable value.