Estimate your non-domestic business rates based on Rateable Value.
£
This is the open market rental value found on the VOA website.
Standard: ~51.2p | Small Business: ~49.9p (2023/24 figures)
Yes, calculate automatically
No, calculate standard rate only
Gross Charge (Before Relief):£0.00
Small Business Relief Applied:0%
Relief Deduction:-£0.00
Annual Business Rates Payable:£0.00
Estimated Monthly Installment (x10):£0.00
Understanding How Business Rates Are Calculated
Business rates are a tax on the occupation of non-domestic property. Whether you run a shop, office, pub, or warehouse, accurately calculating your expected costs is vital for cash flow forecasting. Unlike residential council tax, business rates follow a specific formula based on the rental value of your commercial premises.
1. The Rateable Value (RV)
The core of the calculation is the Rateable Value. This figure represents the open market rental value of the property on a specific valuation date. It is set by the Valuation Office Agency (VOA) in the UK. It is not necessarily the rent you pay, but an assessment of what the property could rent for.
To find your official RV, you should check the government's VOA website. If you believe your RV is incorrect, you can challenge it through the "Check, Challenge, Appeal" process.
2. The Multiplier
Once you have your RV, it is multiplied by the "poundage" or multiplier set by the central government. This figure indicates how many pence you pay for every pound of Rateable Value.
Standard Multiplier: Applies to properties with an RV of £51,000 or more.
Small Business Multiplier: Applies to properties with an RV below £51,000.
For example, if the small business multiplier is 49.9p, you pay £0.499 for every £1 of rateable value (before reliefs).
3. Small Business Rate Relief (SBRR)
This calculator automatically estimates Small Business Rate Relief, which acts as a sliding scale discount for properties with low Rateable Values.
RV up to £12,000: You generally receive 100% relief (you pay £0).
RV £12,001 to £15,000: The relief reduces on a sliding scale from 100% down to 0%.
RV over £15,000: No Small Business Rate Relief is available.
Note: You generally only get SBRR if you only use one property, though there are exceptions.
How to Pay
Local councils typically issue business rates bills in February or March for the upcoming financial year (April to March). While the total is an annual figure, most businesses pay in 10 monthly installments (April to January), providing a two-month payment holiday at the end of the tax year. This calculator provides an estimate for these 10-month installments.
Disclaimer: This tool provides an estimate based on standard multipliers and relief schemes. Transitional relief, specific local discounts (like retail relief), and property-specific factors may alter your final bill. Always consult your local council for the definitive figure.
function calculateBusinessRates() {
// 1. Get Input Values
var rvInput = document.getElementById('rateableValue');
var multiplierInput = document.getElementById('multiplier');
var sbrrSelect = document.getElementById('applySBRR');
var rv = parseFloat(rvInput.value);
var multiplierPence = parseFloat(multiplierInput.value);
var applySBRR = sbrrSelect.value === 'yes';
// 2. Validation
if (isNaN(rv) || rv < 0) {
alert("Please enter a valid Rateable Value.");
return;
}
if (isNaN(multiplierPence) || multiplierPence 0.499)
var multiplierFactor = multiplierPence / 100;
// Calculate Gross Charge
var grossCharge = rv * multiplierFactor;
// Calculate Relief (SBRR)
var reliefPercentage = 0;
if (applySBRR) {
if (rv 12000 && rv 15,000
reliefPercentage = 0;
}
}
// Calculate deductions
var reliefAmount = grossCharge * (reliefPercentage / 100);
var finalBill = grossCharge – reliefAmount;
// Monthly installments (standard is 10 months in UK)
var monthlyInstallment = finalBill / 10;
// 4. Update Display
document.getElementById('grossChargeDisplay').innerText = "£" + grossCharge.toLocaleString('en-GB', {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('reliefPercentageDisplay').innerText = reliefPercentage.toFixed(1) + "%";
document.getElementById('reliefAmountDisplay').innerText = "-£" + reliefAmount.toLocaleString('en-GB', {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('annualPayableDisplay').innerText = "£" + finalBill.toLocaleString('en-GB', {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('monthlyDisplay').innerText = "£" + monthlyInstallment.toLocaleString('en-GB', {minimumFractionDigits: 2, maximumFractionDigits: 2});
// Show results area
document.getElementById('results-area').style.display = 'block';
}