Budget 2024: Transforming business rates

Transforming business rates

Over the parliament, the government will create a fairer business rates system that protects the high-street, supports investment, and is fit for the 21st century.

At Autumn Budget 2024, the government announced its intention to introduce permanently lower business rates for retail, hospitality and leisure properties from 2026-27 to level the playing field for the high-street.  

This paper sets out the government's priority areas of reform to achieve the remaining objectives: to incentivise investment and ensure the business rates system is fair and fit for the 21st century. The paper includes the following chapters:

• Chapter 1 explains why the government believes the business rates system needs to be reformed.
• Chapter 2 details the immediate actions taken by the government in Autumn Budget 2024 to protect the high street.
• Chapter 3 sets out the government's areas of interest for further reform.
• Chapter 4 sets out the government's next steps and how stakeholders can participate.

The government is interested in receiving representations from all interested parties and stakeholders on the priority areas set out in chapter 3. We are especially interested in receiving representations from businesses and their representatives, local authorities, and rating agents.

We will be conducting engagement between November 2024 and March 2025, with an initial phase of engagement before Christmas. If you would like to be involved, please contact transformingbusinessrates@hmtreasury.gov.uk by 15 November.