Supporting Small Business Rate Relief

From the 1 April 2023, the Supporting Small Business Rate Relief scheme was introduced to assist those ratepayers who had lost some or all of their entitlement to Small Business Rate relief or Rural Rate relief as a result of the 2023 revaluation.  The scheme provided a cap of £600 on bill increases for the 2023/2024, 2024/2025 and 2025/2026 financial years for eligible ratepayers.

From the 01 April 2026, the Supporting Small Business Rate Relief scheme has been introduced to assist those ratepayers who had lost some or all of their entitlement to Small Business Rate relief or Rural Rate relief as a result of the 2026 revaluation or are facing large increases due to the loss of the Retail Discount, which ceased on 31 March 2026.

The relief limits the increase in charge by either £800 or the relevant caps within transitional relief, whichever is the greater.

The relevant caps are:

• an increase of 5% for those with Rateable values of £20,000 or below;
• an increase of 15% for those with Rateable values above £20,000 but below £100,001;
• an increase of 30% for those with Rateable values above £100,000.

Please note this increase is calculated from your 2025/26 year's demand, assuming transitional relief did not apply.

The relief will cease on the account should the property become unoccupied or occupied by a charity or community amateur sports club, and will not be reinstated should the property become reoccupied.

This relief amounts to a state subsidy and is subject to the Minimum Financial Assistance thresholds established by the Subsidy Control Act 2022.  These thresholds allow you (including any subsidiary companies) to receive up to £315,000 in financial assistance over three years, including the 2026/27 financial year.

If you believe this award has led you to breach these thresholds, then please contact us immediately so your award can be reduced/removed as applicable.

The 2026 scheme is only available for 12 months for those who were in receipt of supporting small business rate relief in the 2025/2026 financial year and will cease with effect from 31 March 2027 for those who were in receipt of the relief.