High street shops, hospitality and leisure businesses were some of the hardest hit during the Covid-19 pandemic and many have not fully recovered. These businesses were granted 100% business rates relief during 2020/21 which continued until 30 June 2021 for properties in England. Different rates reliefs apply in Scotland and Wales.
From 1 July 2021, the English business rates relief for the hospitality and leisure sector was capped at £105,000 per business and restricted to 66% of the rates payable. For the year 2022/23, retail and hospitality businesses will be able to claim 50% business rates relief, capped at £110,000 per business.
In addition, the business rates multiplier will be frozen for 2022/23.
From April 2023, the Government will also allow businesses in England one year’s grace before they must pay business rates on any improvements that they make to their properties. There will also be a new business rates investment relief for green technology – eligible heat networks and plant used for renewable energy generation and storage.
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