The national non-domestic rating multiplier is used to produce the annual rate bill for a property. The multiplier (also called the Non-Domestic Rating Multipliers or 'poundage) is set annually by the Government.
The multipliers normally change every year in line with inflation. By law they can't go up by more than the rate of inflation, except in the year of a revaluation.
In the Autumn Budget 2017, the government confirmed that it would bring forward the planned switch in the indexation of business rates from RPI to the main measure of inflation (currently CPI) by two years to April 2018. This will apply to bills from 1 April 2018.
There are two multipliers: the standard non domestic rating multiplier and the small business non-domestic rating multiplier.
The small business multiplier
The small business rate multiplier is a lower figure. It's used for occupied properties where either of the following apply:
- You are in receipt of small business rate relief,
- You are not in receipt of mandatory relief and the property has a rateable value less than £18,000 (up to 31 March 2017) or £51,000 (from 1 April 2017).
The standard multiplier
The standard multiplier is for all properties where the small business multiplier doesn't apply. This includes all empty properties.