A new transitional relief scheme has been introduced from 1 April 2023 to help those ratepayers who were faced with higher bills as a result of the revaluation.
Your council will adjust your bill automatically if you’re eligible.
How much your bill can change by?
How much your bill can change by from one year to the next depends on both:
- Your property’s rateable value
- Whether your bill is increasing as a result of revaluation
You stop getting transitional relief when your bill reaches the full amount set by a revaluation.
The business rates year is from 1st April to 31st March the following year.
2023/24 to 2025/26 amounts
If your bill is increasing
| Year | Rateable Value up to £20,000 | Rateable Value Between £20,001 - £100,000 | Rateable Value greater than £100,001 |
|---|---|---|---|
| 2023/24 | 5% | 15% | 30% |
| 2024/25 | 10% plus inflation | 25% plus inflation | 40% plus inflation |
| 2025/26 | 25% plus inflation | 40% plus inflation | 55% plus inflation |
If your bill is decreasing
There is no transitional relief applicable for those in a downward transition to lower bills, those will fall to their full bill on 1 April 2023.
2022/23 amounts from the 2017 transitional relief scheme
If your bill is increasing
| Year | Rateable value up to £20,000 | £20,001 - £100,000 |
|---|---|---|
| 2022/23 | 15% | 25% |
If your bill is decreasing
There is no transitional relief applicable for those in a downward transition to lower bills, those will fall to their full bill on 1 April 2022.
Previous years amounts
If your bill is increasing
| Year | Rateable value up to £20,000 | 20,001 to £99,999 | Over £100,000 |
|---|---|---|---|
| 2017/18 | 5% | 12.5% | 42% |
| 2018/19 | 7.5% | 17.5% | 32% |
| 2019/20 | 10% | 20% | 49% |
| 2020/21 | 15% | 25% | 16% |
| 2021/22 | 15% | 25% | 6% |
If your bill is decreasing
| Year | Rateable value up to £20,000 | 20,001 to £99,999 | Over £100,000 |
|---|---|---|---|
| 2017/18 | 20% | 10% | 4.1% |
| 2018/19 | 30% | 15% | 4.6% |
| 2019/20 | 35% | 20% | 5.9% |
| 2020/21 | 55% | 25% | 5.8% |
| 2021/22 | 55% | 25% | 4.8% |
Further information about transitional arrangements is available in the business rates section or on the Government business rates website.
Subsidy control
- The extension of Transitional Relief and Supporting Small Business relief scheme is likely to amount to subsidy. Any relief provided by the Council under this scheme will need to comply with the UK’s domestic and international subsidy control obligations.
- To the extent that a local authority is seeking to provide relief that falls below the Minimal Financial Assistance (MFA) thresholds, the Subsidy Control Act allows an economic actor (e.g. a holding company and its subsidiaries) to receive up to £315,000 in a three-year period (consisting of the 2023/24 year and the two previous financial years). MFA subsidies cumulate with each other and with other subsidies that fall within the category of ‘Minimal or SPEI financial assistance’. BEIS COVID-19 business grants and any other subsidies claimed under the Small Amounts of Financial Assistance limit of the Trade and Cooperation Agreement should be counted under the £315,000 allowance.
- In those cases where it is clear to the local authority that the ratepayer is likely to breach the Small Amounts of Financial Assistance Allowance then the authority should automatically withhold the relief.
Policy
Warwick District Councils agreed policy for Transitional Relief and Supporting Small Business Rates Relief.