Transitional rate relief
All rateable values are reassessed every five years at a general revaluation. On 1 April 2017, the new rating list came into effect and your bill will be based on the rateable value assigned to the property on this date.
As a result of Covid-19, the government postponed the next general revaluation by 12 months. Therefore, bills will continue to be based on the rateable value assigned on 1 April 2017 for a further year.
Property values normally change a good deal between each revaluation, so transitional relief arrangements help to phase-in the effects of these changes on ratepayers’ bills. Large rises are restricted so businesses are not suddenly asked to pay much larger amounts and this is offset by limiting big gains where businesses would have to pay significantly less.
We will automatically include transitional relief when we calculate your bill. It is shown on the bill as ‘Transitional Adjustment’.
Transitional relief limits the percentage your business rates bill can be increased or decreased each year following revaluation. The transitional relief will apply each year until the full amount is due and your bill reaches what your full bill should be.
The full bill is calculated by multiplying the rateable value by the multiplier. More information is available on how are business rates calculated page.
More information on transitional rate relief is available on the GOV.UK website.