The pandemic has had an immense impact on thousands of companies, but particularly high street shops and those in the hospitality or leisure industry. To support businesses of this nature, a 100% business rates relief grant was introduced during 2020-21, which continued through to the 30th of June 2021 for properties in England. Different rates of reliefs apply in Scotland and Wales.
However, from the 1st of July 2021, the business rates reliefs in England were capped at £105,000 per business and restricted to 66% of the rates payable. Now, for the year 2022-23, retail and hospitality companies will be able to claim 50% business rates relief which will be capped at £110,000 per business. Not only this, but the automatic increase in the level of business rates that was suspended in 2021-22 will stay frozen for 2022-23.
Along with the above, from April 2023, the Government will allow businesses in England to have one year’s grace period before they will need to pay their business rates on any property improvements. Any eligible heat networks and plant used for renewable energy generation and storage will also see a complete exception from rates.