Businesses to pay rates bills that better reflect current property values

As from 12th June, business rates payers will pay bills that better reflect current property values under new legislation introduced by ministers.

Property revaluations will increase to every three years (from five) and the next revaluation will be brought forward a year from 2022 to 2021.

A property’s business rates bill is based on a precise estimate of the premise’s rental value. Business rates revaluations help ensure this estimate accurately reflects the market value of the property and maintain fairness by redistributing the total amount payable across the country.

This delivers on commitments made by the Chancellor at the Autumn Budget in 2017 and the Spring Statement in 2018.

Local Government Minister Rishi Sunak MP, commented, “We’ve listened to businesses asking for more frequent revaluations and are now acting so their bills will more accurately reflect current property values.”

Rishi Sunak added, “By bringing forward the next revaluation to 2021, we are making sure businesses can benefit from the change as soon as possible.”

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