Transitional relief and Supporting Small Business relief
Transitional relief
After every general revaluation, a transitional phasing scheme is implemented. You will get transitional relief if your Rates increase by more than a certain amount because of having a larger Rateable Value. This means changes to your bill are phased in gradually.
Your Business Rates will change by no more than the percentage caps listed in the table from one year to the next.
If your bill is increasing from 1 April 2026 to 31 March 2029
| Rateable value | 2026 to 2027 | 2027 to 2028 | 2028 to 2029 |
| Up to £20,000 (£28,000 in London) | 5% | 10% plus inflation | 25% plus inflation |
| £20,001 (£28,001 in London) to £100,000 | 15% | 25% plus inflation | 40% plus inflation |
| Over £100,000 | 30% | 25% plus inflation | 25% plus inflation |
This scheme can be intricate, but the Business Rates Section can provide a personalised explanation if requested.
If you qualify for any relief, it will be automatically reflected on your bill. There is no need to apply separately for it.
Please be aware that if your Rateable Value changes, it may affect the level of Transitional Relief that you receive.
The Government is introducing a 1p. supplement (per £1 RV) to the relevant tax rate for Ratepayers who do not receive Transitional Relief or the Supporting Small Business Relief scheme to partially fund Transitional Relief. This will apply for one year only from 1 April 2026. This is added to the bill before all reliefs are deducted.
The Transitional Relief Supplement (TRS) will only apply to defined hereditaments within the meaning of the TR regulations. New hereditaments, other than those formed from a split or merger of a defined hereditament, will not be liable for the TRS.
Our software shows the 1p. supplement on all bills, but is then offset within the Transitional Relief or Supporting Small Businesses Relief calculation.
Supporting Small Business (SSB) Relief
You can qualify for SSB Relief if your annual Rates bill will be increasing for 2026-2027 because of the revaluation, and you have lost some or all of your Small Business Rate Relief, Rural Rate Relief, 2023 SSB Relief or 2025-2026 40% RHL Relief (if you qualified for this on 31 March 2026).
Any hereditament in the 2023 SSB Relief scheme on 31 March 2026 (including in combination with any of the other reliefs) will lose any entitlement to 2026 SSB Relief on 1 April 2027. Otherwise, the 2026 SSB Relief scheme will run for three years.
SSB Relief will cap the increase in Rates payable year on year to a maximum of £800 (£800 / £1,600 / £2,400) or the applicable maximum increase percentage from the Transitional Relief scheme, i.e., 5%, 15% or 30% for 2026-2027 (whichever is greater).
However, should a property become vacant at any point during the three year cycle, this will cease the relief for that hereditament.
You don't need to apply as entitled relief will automatically appear on your bill.