Standard small business multiplier for 2023/24 is 49.9p.
Gross Rates (Before Relief):£0.00
Relief Percentage:0%
Relief Amount:£0.00
Net Rates Payable:£0.00
function calculateRelief() {
// 1. Get Input Elements
var rvInput = document.getElementById('rateableValue');
var multInput = document.getElementById('multiplier');
var resultDiv = document.getElementById('resultsArea');
var errorDiv = document.getElementById('rvError');
// 2. Parse Values
var rv = parseFloat(rvInput.value);
var multiplierPence = parseFloat(multInput.value);
// 3. Validation
if (isNaN(rv) || rv < 0) {
errorDiv.style.display = 'block';
resultDiv.style.display = 'none';
return;
} else {
errorDiv.style.display = 'none';
}
if (isNaN(multiplierPence)) {
multiplierPence = 49.9; // Fallback
}
// 4. Constants for SBRR (England)
var lowerThreshold = 12000;
var upperThreshold = 15000;
var multiplierDecimal = multiplierPence / 100;
// 5. Calculation Logic
var grossRates = rv * multiplierDecimal;
var reliefPercent = 0;
var reliefAmount = 0;
// SBRR Logic
if (rv = upperThreshold) {
// 0% Relief for properties with RV of £15,000 or more
reliefPercent = 0;
} else {
// Tapered Relief between £12,001 and £15,000
// Formula: Relief reduces on a sliding scale from 100% to 0%
// Percentage = ((Upper Threshold – RV) / (Upper Threshold – Lower Threshold)) * 100
var range = upperThreshold – lowerThreshold; // 3000
var diff = upperThreshold – rv;
reliefPercent = (diff / range) * 100;
}
// Calculate Monetary Relief
reliefAmount = grossRates * (reliefPercent / 100);
// Calculate Final Bill
var netPayable = grossRates – reliefAmount;
// 6. Formatting & Display
var formatCurrency = new Intl.NumberFormat('en-GB', {
style: 'currency',
currency: 'GBP',
minimumFractionDigits: 2
});
document.getElementById('grossRatesResult').innerText = formatCurrency.format(grossRates);
document.getElementById('reliefPercentResult').innerText = reliefPercent.toFixed(1) + '%';
document.getElementById('reliefAmountResult').innerText = formatCurrency.format(reliefAmount);
document.getElementById('netPayableResult').innerText = formatCurrency.format(netPayable);
resultDiv.style.display = 'block';
}
Understanding Small Business Rates Relief (SBRR)
Small Business Rates Relief is a scheme in England intended to help small businesses reduce their overhead costs. If your business property has a low "Rateable Value" (RV), you may be eligible to pay reduced business rates, or in some cases, no rates at all.
Important: This calculator is designed based on the rules for England. Scotland, Wales, and Northern Ireland have different schemes and thresholds.
How is the Relief Calculated?
Your eligibility depends entirely on the Rateable Value of your property, which is set by the Valuation Office Agency (VOA). The current thresholds are as follows:
RV up to £12,000: You get 100% relief. You pay £0 in business rates.
RV between £12,001 and £15,000: You get tapered relief. The discount decreases from 100% to 0% as the value rises.
RV over £15,000: No Small Business Rates Relief is available (though you still use the lower multiplier if RV is under £51,000).
The Tapering Formula Explained
The "taper" can be confusing. It works on a sliding scale. For every £30 your Rateable Value increases above £12,000, you lose approximately 1% of relief.
Calculation Example
Let's say your property has a Rateable Value of £13,500 and the multiplier is 49.9p.
Calculate Gross Bill: £13,500 × 0.499 = £6,736.50
Determine Relief Percentage: The property is £1,500 above the £12,000 threshold.
The total window is £3,000 (£15,000 – £12,000).
Formula: (15,000 – 13,500) ÷ 3,000 = 0.5 (or 50%).
Apply Relief: 50% of £6,736.50 is £3,368.25.
Net Payable: You pay £3,368.25.
Eligibility Criteria
To qualify for Small Business Rates Relief, you must typically meet these conditions:
You occupy only one business property in England.
Your property's rateable value is less than £15,000.
Note: If you own a second property, you may still qualify if the additional properties have RVs below £2,899 and the total RV of all properties is below £20,000 (£28,000 in London).
What is the Multiplier?
The multiplier (also known as the "poundage") is the pence in the pound you pay. For the 2023/2024 tax year, the small business multiplier is generally 49.9p. This means for every £1 of rateable value, you would normally pay 49.9 pence in tax before any relief is applied.
How to Apply
SBRR is not always applied automatically. You usually need to contact your local council to apply. If you realize you were eligible in previous years but did not claim, you can often claim a refund for backdated rates.