Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment his Department has made of the cost of the downwards phasing of business rates transitional relief on retail businesses since the last revaluation in 2017.

At Autumn Budget 2021, the Government announced a one-year extension to Transitional Relief, restricting bill increases to 15 per cent for small properties (up to £20k Rateable Values (RVs)) and 25 per cent for medium properties (up to £100,000 RVs), subject to subsidy control limits.

The Government recognises that Transitional Relief arrangements, particularly ‘downward caps’, can mean some bills take longer to reach their new level. These ‘downward caps’ pay for protection for businesses seeing large increases in their bills.

The extension of Transitional Relief and the Supporting Small Business Scheme in 2022-23 for small and medium businesses will save businesses an estimated £30 million, protecting small businesses from significant bill increases.