Business rates collected by local authorities are the way that those who occupy a non-domestic property contribute towards the cost of local services. Under the business rates retention arrangements introduced from 1st April 2013, authorities keep a proportion of the business rates paid locally.
Your business rate bill is based on the rateable value of the property and the multiplier.
For more information see the Business Rates explanatory notes
The government each year fixes the multiplier or poundage and cannot by law rise by more than the amount of the increase in the retail prices index (RPI).
For 2016/17 the multipliers were set at 48.4p (0.484) for small businesses and 49.7p(0.497) for the standard multiplier.
For 2017/18 the multipliers are set at, for small businesses 46.6p (0.466) and 47.9p (0.479) for the standard multiplier.
In addition, businesses with a rateable value over £70,000 are required to pay the Crossrail Business Rate Supplement.
The bills are sent out annually in March for the financial year commencing 1 April. Instalment facilities are provided and it is important that payments are made regularly otherwise the whole amount becomes due and additional recovery charges may be applied to the account.