Transitional relief limits how much your business rates bill can change each year as a result of business rates revaluation. This means changes to your bill are phased in gradually if you’re eligible.
From the 2023 to 2024 tax year you’ll get transitional relief if:
- your property is in England
- your rates go up by more than a certain amount
How much your bill can change by
How much your bill can change from one year to the next depends on both:
- your property’s rateable value
- whether your bill is increasing or decreasing 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 1 April to 31 March the following year.
If your bill is increasing from 1 April 2023
| Rateable value | 2023 to 2024 | 2024 to 2025 | 2025 to 2026 |
|---|---|---|---|
| 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% | 40% plus inflation | 55% plus inflation |
Transitional certificates
A transitional certificate value may be used in the business rates calculation for your property instead of the usual rateable value.
If you disagree with the value of the certificate you can contact the Valuation Office Agency (VOA).
How to claim transitional relief
We will adjust your bill automatically if you’re eligible
