Can your business rates actually be reduced?

Business rates are based largely on the rateable value of your business premises. New rateable values came into effect from 1 April 2026 and will generally be used for business rates bills until 31 March 2029.

If the information used to value your property is incorrect, or you believe the rateable value itself is too high, there is an official process for asking for it to be reviewed. This is known as Check, Challenge, Appeal. The first stage is to check that the Valuation Office holds the correct information about your property. If this does not resolve the issue, there may then be grounds to challenge the valuation.

There can certainly be legitimate circumstances where a rateable value is too high and a successful challenge results in lower business rates. However, businesses should be wary of anyone suggesting that a reduction is guaranteed before properly reviewing the property and the basis of its valuation.

A recent report stated that of all the cases challenged, 86% resulted in no change to the rateable value, while 13% resulted in a decrease and 1% resulted in an increase.

Be careful when appointing a business rates agent.

There are many reputable specialists who can assist businesses with genuine valuation issues. However, there have also been concerns about the practices of some agents.

Official guidance warns businesses to be particularly cautious where an agent:

• puts pressure on you to sign a contract quickly
• creates artificial deadlines
• promises savings before carrying out a proper review
• requires substantial upfront fees
• has contract terms which are unclear about how and when fees will be charged

Businesses should understand exactly what they are signing up to, including the length of the agreement and whether fees are based on the savings achieved.

Before signing an agreement with a company that has approached you, take some time to investigate.

Check your current rateable value, make sure the details held about your premises are correct and understand exactly what the proposed agent believes is wrong with the valuation. A genuine reduction in business rates can represent a valuable saving, but there should be a clear reason why the existing valuation is incorrect. If you are unsure about a proposal you have received, speak to us before committing to a long-term contract.