The local authority works out the Business Rates bill by multiplying the Rateable Value of the property by the appropriate multiplier.
There are two multipliers:
- The standard multiplier for 2016/17 is 49.7 pence
The small business multiplier for 2016/17 is 48.4 pence
The multipliers for the 2015/16 financial year were 49.3 pence and 48.0 pence respectivley.
These multipliers are set by Central Government and normally change every year in line with inflation.
Property Values normally change a good deal during each revaluation. Transitional arrangements help to phase in the effects of those changes by limiting the increases in bills. To help pay for this there also have to be limits on reductions in bills.
Under the transition scheme, limits continue to apply to yearly increases and decreases until the full amount payable is due (rateable value times the appropriate multiplier).
The transitional arrangement scheme for the 2010 revaluation has been extended for some properties to 31 March 2017.
Any transition is automatically calculated by Gateshead Council and will be shown on your bill.
Further information about transitional arrangements can be obtained from Gateshead Council or My Business Rates website.