Retail discount

1. About the retail discount scheme

A business rates retail discount scheme for occupied retail properties with a rateable value of less than £51,000 in 2019-20, was announced by the government in the Budget on 29 October 2018.

If you're entitled to retail discount you'll receive a discount of one third of the bill. This will be applied after any mandatory reliefs and other discretionary reliefs have been applied.

Any relief awarded will count as State Aid. It will be taken into account when considering whether you've received more than the £200,000 limit in the current and previous 2 financial years.

Retail discount 2020-21

The rate of retail discount in 2020-21 increased to 100% in response to the coronavirus pandemic. There's no rateable value limit on relief, and any discount awarded does not count as state aid for this financial year.

The discount was extended to cover leisure and hospitality properties, as well as retail properties from 1 April 2020.

Retail discount 2021-22

The rates of retail discount for 2021-22 are:

  • 100% from 1 April 2021 to 30 June 2021
  • 66% from 1 July to 31 March 2022

From 1 July 2021, relief will be capped at £105,000 per business, or £2 million per business where the business is in occupation of a property that was required, or would have been required, to close, based on the law and guidance applicable on 5 January 2021.

Your bill for 2021-22 will include retail discount at 100%. This will be recalculated around 1 July 2021 when you'll receive a revised bill with what is remaining to pay.