This is found on your VOA valuation letter or the gov.uk website.
England
Wales
Base Liability:£0.00
Small Business Rate Relief:-£0.00
Estimated Annual Total:£0.00
Understanding Holiday Let Business Rates
In the United Kingdom, holiday lets are treated differently from standard residential properties for tax purposes. If your property meets specific occupancy criteria, it moves from Council Tax to National Non-Domestic Rates (Business Rates). This calculator helps you estimate your annual bill based on the 2024/25 tax year multipliers and relief thresholds.
The Eligibility Rules (The 140/70 Rule)
To be eligible for Business Rates rather than Council Tax, your property in England must:
Be available to let for short periods for at least 140 days in the previous and current year.
Actually be let for at least 70 days in the previous 12 months.
In Wales, the rules are stricter: the property must be available for 252 days and actually let for at least 182 days.
Small Business Rate Relief (SBRR) Explained
One of the biggest advantages of moving to Business Rates is the potential for Small Business Rate Relief. In England:
100% Relief: If your Rateable Value is £12,000 or less, you generally pay £0 in business rates.
Tapered Relief: If your Rateable Value is between £12,001 and £15,000, the relief gradually decreases from 100% to 0%.
Standard Rates: If your Rateable Value is above £15,000, you pay the full amount based on the multiplier.
Calculation Example
If your holiday let has a Rateable Value of £13,500:
The base tax (using the 0.499 multiplier) would be £6,736.50.
Since £13,500 is exactly halfway between £12,000 and £15,000, you receive 50% relief.
Your final bill would be approximately £3,368.25 for the year.
Frequently Asked Questions
How is the Rateable Value determined?
The Valuation Office Agency (VOA) calculates the Rateable Value based on the property's size, location, and potential rental income. It is not the same as the market value of the property.
What if I own multiple properties?
If you own more than one business property, your eligibility for SBRR changes. You can usually only get full relief on your main property, and the total Rateable Value of all your properties must be under a certain threshold (usually £20,000 across all assets).
function calculateBusinessRates() {
var rv = parseFloat(document.getElementById('rateableValue').value);
var location = document.getElementById('location').value;
var resultBox = document.getElementById('hlResultBox');
if (isNaN(rv) || rv < 0) {
alert('Please enter a valid Rateable Value.');
return;
}
// 2024/25 Multipliers
var smallMultiplier = 0.499;
var standardMultiplier = 0.546;
var baseLiability = 0;
var reliefPercentage = 0;
var finalTotal = 0;
var note = "";
// Base calculation
if (rv < 51000) {
baseLiability = rv * smallMultiplier;
} else {
baseLiability = rv * standardMultiplier;
}
// Relief Logic (England Rules)
if (location === 'england') {
if (rv 12000 && rv <= 15000) {
// Tapered relief formula: (15000 – RV) / (15000 – 12000)
reliefPercentage = ((15000 – rv) / 3000) * 100;
note = "Your property qualifies for partial tapered Small Business Rate Relief (" + reliefPercentage.toFixed(1) + "%).";
} else {
reliefPercentage = 0;
note = "Your property exceeds the threshold for Small Business Rate Relief.";
}
} else if (location === 'wales') {
// Wales 2024/25 Rules: 100% relief up to 6k, tapered to 12k
if (rv 6000 && rv <= 12000) {
reliefPercentage = ((12000 – rv) / 6000) * 100;
note = "Wales: Your property qualifies for tapered relief (" + reliefPercentage.toFixed(1) + "%).";
} else {
reliefPercentage = 0;
note = "Wales: Your property exceeds the threshold for Small Business Rate Relief.";
}
}
var reliefAmount = baseLiability * (reliefPercentage / 100);
finalTotal = baseLiability – reliefAmount;
// Display results
document.getElementById('baseLiability').innerText = '£' + baseLiability.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('reliefAmount').innerText = '-£' + reliefAmount.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('finalTotal').innerText = '£' + finalTotal.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('reliefNote').innerText = note;
resultBox.style.display = 'block';
}