The multiplier is the rate at which each pound of Rateable Value is charged.
The Government Department for Communities and Local Government sets the multiplier for the whole of England each financial year. Visit the Department for Communities and Local Government website at https://www.gov.uk/calculate-your-business-rates for more information.
Since 1st April 2005, there have been two multipliers set for each financial year - the standard non-domestic multiplier and the small business non-domestic multiplier.
The standard multiplier is the higher of the two and is set so as to offset the cost of the Small Business Rate Relief scheme (See 'Small Business Rate Relief' for details of the scheme).
Recent Multipliers:
Standard Business Rate Multiplier
2024 / 2025: 54.6p
2023 / 2024: 51.2p
2022 / 2023: 51.2p
2021 / 2022: 51.2p
2020 / 2021: 51.2p
2019 / 2020: 50.4p
2018 / 2019: 49.3p
2017 / 2018: 47.9p
2016 / 2017: 49.7p
2015 / 2016: 49.3p
2014 / 2015: 48.2p
2013 / 2014: 47.1p
Small Business Rate Multiplier
2024 / 2025: 49.9p
2023 / 2024: 49.9p
2022 / 2023: 49.9p
2021 / 2022: 49.9p
2020 / 2021: 49.9p
2019 / 2020: 49.1p
2018 / 2019: 48.0p
2017 / 2018: 46.6p
2016 / 2017: 48.4p
2015 / 2016: 48.0p
2014 / 2015: 47.1p
2013 / 2014: 46.2p
Note that the Multipliers are expressed in pence, whereas Rateable Value is expressed in pounds (£).
Example of how basic business rate is calculated
A business property has a Rateable Value of £100,000. This Rateable Value is too large to attract Small Business Rate Relief - so the Standard Multiplier must be applied. For the 2019/2020 financial year, it's 50.4p.
The basic rate charge for the period from 1st April 2019 to 31st March 2020 is therefore found by multiplying the Rateable Value of £100,000 by the Standard Multiplier of 50.4p, but we must remember that the Multiplier is expressed in pence and so we will need to convert it to its £ equivalent - which is £0.504.
The calculation is therefore: £100,000 x 0.504 = £50,400
£50,400 would be the amount of business rates payable for the 2019/20 financial year before any transitional arrangements and/or reliefs, if applicable, are applied.
For help and advice on all aspects of business rates please contact the Business Rates Team on 01455 255668.
Last updated: Fri 23 February, 2024 @ 12:56