With effect from 1 April 2023, the Small Business Bonus Scheme (SBBS) was reformed.
100% relief continues to be available for properties where the cumulative rateable value of all of a ratepayer’s properties is no more than £12,000 and where the property is not used for an excluded purpose. Where the cumulative rateable value of a ratepayer’s properties is between £12,001 and £35,000, 25% relief is available for properties with individual rateable values of up to £15,000 and will taper from 25% to 0% for properties with individual rateable values between £15,001 and £20,000 where the property is not used for an excluded purpose.
To ensure that properties losing, or seeing a reduction in, SBBS relief at revaluation do so in a phased manner, a Small Business Transitional Relief was introduced from 1 April 2023. This means that for those losing or seeing a reduction in SBBS relief on 1 April 2023, the maximum increase in the rates liability for each qualifying property (relative to 31 March 2023) will be capped at £600 in 2023-24, rising to £1,200 in 2024-25 and £1,800 in 2025-26.