Business rates: 70,000 more shops, pubs and cafés pay nothing from April 2027
Small Business Rates Relief for retail, hospitality and leisure in England is extended to a rateable value of £18,000, and pubs and venues get 35% relief.
From 1 April 2027, the thresholds for Small Business Rates Relief rise for qualifying retail, hospitality and leisure properties in England. The government expects around 70,000 more high street businesses to pay no business rates, among them 3,500 pubs, 3,900 restaurants, 2,200 cafés and 1,700 hair and beauty salons.
Retail, hospitality and leisure properties in England that qualify for Small Business Rates Relief.
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| Until March 2027 | £12,000 |
|---|---|
| From April 2027 | £18,000 |
Pubs and live music
Relief for pubs, social clubs and all but the very largest live music venues rises from 15% to 35% from 1 April 2027. The very largest live music venues, with a rateable value of £1 million or more, do not get the increase.
A cap for everyone else in the sector
For other qualifying retail, hospitality and leisure properties, increases in rates bills are capped at inflation in 2027-28 and 2028-29. The cap does not cover increases from improvements to the property, or from losing other reliefs.
Two groups lose out: from April 2027, vape shops can no longer use the sector’s lower multipliers or Small Business Rates Relief, and adult gaming centres lose the lower multipliers. The £150 and £300 fees for appealing to the Valuation Tribunal are abolished, with refunds for appeals already made against the 2026 list.
Check your rateable value
Relief depends on the rateable value on the 2026 list, not your rent. If your property sits near £18,000 or £21,000, or you have more than one property, check how the rules apply before your 2027-28 bill arrives.
This insight is general information, not advice for your circumstances. Talk to us before acting on it.