Retail, hospitality and leisure relief

At the Autumn Budget on 30 October 2024, the Chancellor extended the business rates relief scheme for retail, hospitality, and leisure properties, worth over £1.5 billion in 2025-26. 

The 2025-26 Retail, Hospitality and Leisure business rates relief scheme will provide eligible, occupied, retail, hospitality and leisure properties with a 40% relief, up to a cash cap limit of £110,000 per business group.

Eligible properties must be wholly or mainly being used as:

• a shop
• a restaurant, café, bar or pub
• a cinema or music venue
• a hospitality or leisure business - for example, a gym, a spa or a hotel

Apply for a discount

We will automatically apply the discount to properties that we think will qualify. If you feel your business fits the criteria for the discount and have not received it, or you have started a new business, please apply using the form below:

Apply for Retail Relief Discount

Opt out of the discount

You have the option to refuse the discount awarded in relation to your business premises. Please be aware that once you have refused the discount, you cannot withdraw your refusal for all or any part of the discount period. To notify us you wish to refuse the discount please send us an email.

2026 and the new retail, hospitality and leisure (RHL) lower multiplier scheme

From April 2026, the government is introducing two lower business rates multipliers for RHL properties (hereditaments) with rateable values (RVs) below £500,000 worth over £1 billion per year. Unlike the current RHL relief, the new rates are permanent, giving businesses certainty and stability.

• Small business RHL multiplier - for RHL hereditaments with RVs under £51,000
• Standard RHL multiplier - for RHL hereditaments with RVs between £51,000 and £499,999

The new RHL multipliers will be 5p below their national equivalents. 

The government has idefined the 'qualifying hereditaments' for the purposes of the lower multipliers. 

Examples of Qualifying Hereditaments

Eligible properties must be wholly or mainly being used as on of the following:

• a shop with items for sale or hire
• as premises providing a sevice to directly to customers e.g. hairdressers, dry cleaners, or ticket office
• a place to purchase food or drink for consumptio on or off the property e.g. restuarant, pub or takeaway
• a hotel, boarding house or holiday apartment (where personal care is not provided)
• a place where leisure or recreational evants can take place e.g. a live music venue, museum, gym or public hall

And some business types are excluded form the scheme such as:

• estate agents
• accountants and financial advisors
• medical or health services e.g. dentists, chiropractors and physiotherapist
• banks and betting shops
• car parks and transport hubs
• schools, colleges and universities and nurseries

The new scheme has no cash cap or subsidy consideration. Therefore, it is predicted that many more premises will be eligible and benefit from this lower multiplier scheme.