Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if she will make it her policy to exempt film studios from the business rates surcharge for hereditaments with a rateable value over £500,000.

At Autumn Budget 2024, the Government announced an intention to introduce a higher business rates multiplier on the most valuable properties – those with Rateable Values (RVs) of £500,000 and above – from April 2026 to fund permanently lower multipliers for retail, hospitality and leisure (RHL) properties.

This permanent tax cut will ensure that RHL businesses benefit from much-needed certainty. The Government intends to fund this by introducing a higher multiplier on all properties with an RV of £500,000 and above – these represent less than one per cent of properties. The final details of the new higher multiplier will be set at Budget 2025.

Eligible film studios in England benefit from 40 per cent business rates relief. Business rates bills are calculated by applying the relevant multiplier first, meaning film studios receive 40 per cent relief on their total liability.