From April 2026, significant changes to the business rates system are coming into effect across England. For many SMEs, this could mean changes to monthly overheads particularly for retail, hospitality, leisure, and businesses operating from larger premises.
One of the biggest changes is the introduction of new business rates multipliers, alongside the 2026 property revaluation. The current Retail, Hospitality and Leisure (RHL) relief scheme is ending, with a new system replacing it. While some smaller high street businesses may benefit from lower multipliers, others could see costs increase depending on their property’s updated rateable value.
Key changes businesses should be aware of:
- New business rates multipliers from April 2026
- 2026 revaluation of commercial properties (see here for more information)
- End of the current Retail, Hospitality & Leisure relief scheme
- Transitional relief measures for some businesses
- Higher multipliers for properties with rateable values over £500,000
For SMEs, the impact will vary significantly depending on location, sector and property size. Some hospitality and manufacturing businesses have already warned about rising costs linked to the reforms, while others may benefit from additional support and reliefs.
Now is a good time to review your current rateable value, understand what reliefs may still apply and factor any increases into your cash flow forecasts for 2026/27. Planning ahead can help avoid surprises and ensure your business remains financially prepared for the year ahead.
For a chat about your new rateable value and how it affects your business accounting, contact your friendly Accountants247 team here.
