The 2025 Autumn Budget confirmed the most extensive changes to the business rates system in over a decade. From April 2026, new multipliers, revised relief provisions and updated support schemes will apply to every non-domestic property in England. These changes will influence how liabilities are calculated over the next rating cycle.
New business rates multipliers (from April 2026)
The Government will replace the current two-multiplier system with five separate multipliers:
| Category | 2026–27 Multiplier |
| Small Business Multiplier | 43.2p |
| Standard Multiplier | 48.0p |
| Small Retail, Hospitality & Leisure (RHL) Multiplier | 38.2p |
| Standard RHL Multiplier | 43.0p |
| High-Value Property Multiplier (RV £500,000+) | 50.8p |
This is the first time that qualifying RHL properties below £500,000 RV will benefit from permanently lower multipliers built into the calculation rather than temporary relief.
Transitional relief caps
To manage potential increases following the 2026 revaluation, annual rises in bills will be capped for three years, depending on Rateable Value.
Importantly, these caps apply only to increases.
Where a property’s liability decreases, the reduction will be passed on in full from the first year — there is no downward cap.
Supporting Small Business (SSB)
From April 2026, the SSB scheme will:
- Protect smaller ratepayers facing significant increases following revaluation
- Apply whether ratepayers lose previously received reliefs or simply move into a higher liability band
- Limit annual increases to the higher of £800 or the transitional percentage cap
- Run for three years, with the 2023 scheme extended for one additional year into 2026–27
This support is not sector-specific and applies across eligible properties.
Small Business Rates Relief (SBRR) extension
The SBRR grace period increases from one to three years.
Businesses expanding into an additional property will retain SBRR on their original premises for longer, easing growth-related costs.
Additional updates
- 100% relief continues for eligible EV charging points and EV-only forecourts
- A call for evidence has been launched on the Receipts & Expenditure valuation methodology
- The following remain under consideration and may feature in future changes.:
- Empty property relief changes
- Improvement relief amendments
- Changes to Antecedent Valuation Date rules
- A merge of VOA and HMRC
- A slab/slice valuation system
- Draft rateable values for the 2026 rating list (from 1 April 2026) are now available at https://www.gov.uk/find-business-rates
What this means for businesses
Every ratepayer will be affected differently. Some will benefit from permanently lower multipliers, particularly smaller RHL occupiers, while others may experience increases depending on their new Rateable Value.
The key message is timing: what is in place on your account today will shape how you experience these reforms.
Ensuring that all applicable reliefs and adjustments are reflected ahead of April 2026 allows businesses to take full advantage of the new structure.
How Goodman Nash can help
Our audit team has already identified confirmed opportunities on many accounts where reliefs or adjustments are available but not yet activated. Acting now ensures:
✔️ Your position reflects the current rules
✔️ You benefit fully from reductions where applicable
✔️ You enter the new rating list from the strongest possible position
If we have contacted you, it is because an opportunity has already been identified — not because we are offering a speculative review.
To discuss how the reforms relate to your property or portfolio, please get in touch.
Goodman Nash — specialists in business rates since 1994