Guide

Business rates in Wales: relief schemes and how to claim

How business rates work in Wales, including the single multiplier, Small Business Rates Relief, Retail Leisure and Hospitality relief, and the unique Improvement Relief scheme. Covers how to claim each relief and key differences from England.

Wales

If your business occupies commercial premises in Wales, you pay business rates (non-domestic rates) to your local authority. Wales has its own rates system, set by the Welsh Government, with a single multiplier and relief schemes that differ from England, Scotland, and Northern Ireland.

This guide covers how rates are calculated in Wales, which reliefs you can claim, and how to apply. If you operate in both Wales and England, pay close attention to the differences in thresholds and eligibility.

Relief schemes in Wales

Wales offers several relief schemes that can significantly reduce your rates bill. The main schemes are Small Business Rates Relief (permanent), Retail Leisure and Hospitality relief (renewed annually), and Improvement Relief (unique to Wales from April 2024).

Small Business Rates Relief

This is a permanent scheme with no annual renewal required. It is the primary relief for small businesses in Wales, though the thresholds are lower than in England and Scotland.

Retail, Leisure and Hospitality relief

If your business operates in retail, leisure, or hospitality, you may qualify for a 40% discount on your rates bill. This scheme is renewed annually by the Welsh Government.

Improvement Relief

From April 2024, Wales introduced Improvement Relief, which delays any increase in your rateable value resulting from property improvements for 12 months. This is unique to Wales and removes a key barrier to investing in your premises.

Wales vs England: key relief differences

If you operate in both countries, or are choosing where to locate, these differences matter:
Multiplier (2026/27) 56.8p (single rate for all properties) New six-tier multiplier system (varies by property type and RV band)
Small business: full relief 100% for RV up to £6,000 100% for RV up to £12,000
Small business: tapered relief Tapered £6,001 to £12,000 Tapered £12,001 to £15,000
RLH relief (2026-27) 40% discount, capped at £110,000 40% discount, capped at £110,000
Improvement Relief 12-month delay on RV increase (from April 2024) Also available from April 2024 (separate regulations)
Childcare relief 100% SBRR for registered childcare (permanent) No equivalent enhanced childcare relief
Valuation body Valuation Office Agency (VOA) Valuation Office Agency (VOA)
Revaluation cycle Every 3 years (next: April 2026) Every 3 years (next: April 2026)

How to claim relief

  1. Check your property's rateable value on the VOA website at gov.uk/find-business-rates

  2. Contact your local authority's business rates team to apply for Small Business Rates Relief (if your RV is £12,000 or below)

  3. If you operate in retail, leisure, or hospitality, apply separately for RLH relief through your local authority

  4. If you have carried out property improvements, ask your local authority about Improvement Relief and confirm whether the VOA has certified the change in rateable value

  5. If you believe your rateable value is incorrect, use the Check, Challenge, Appeal process through the VOA

  6. If your circumstances change (e.g. you take on additional properties), notify your local authority promptly as this may affect your eligibility

What next

If you are improving your business premises, read Claim Improvement Relief for business premises in Wales for the full eligibility and application process.

For a broader view of all the ways Wales differs from England for business, see Doing business in Wales: key differences from England.

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