Retail Hospitality and Leisure Business Rates Relief Scheme 2025/26

At the Autumn Budget on 30 October 2024 the Chancellor announced the extension of the business rates relief scheme for retail, hospitality, and leisure (RHL) properties, worth over £1.5 billion in 2025/26. This will provide businesses with the necessary interim support until the introduction of the permanently lower tax rates for RHL properties, including those on the high street, from 2026-27.

The 2025/26 Retail, Hospitality and Leisure Business Rates Relief scheme will provide eligible occupied retail, hospitality, and leisure properties with a 40% relief, up to a cash cap limit of £110,000 per business.

Relief will be provided to eligible occupied retail, hospitality and leisure properties in 2025/26. Your current rates bill includes this relief should you be entitled.

In line with the conditions set by the government, a ratepayer may only claim up to £110,000 of support under the 2025/26 Retail, Hospitality and Leisure Relief Scheme for all of their eligible hereditaments. This cash cap applies at a Group company level (so holding companies and subsidiaries cannot claim up to the cash cap for each company) and also to organisations which, although not a company, have such an interest in a company that they would, if they were a company, result in its being the holding company.

Furthermore, the Retail, Hospitality and Leisure Relief Scheme is subject to the Minimal Financial Assistance limit of £315,000 over three years (including 2025/26).

Therefore, to claim the Retail, Hospitality and Leisure relief you must not have exceeded either the £110,000 cash cap for 2024/25 or the Minimal Financial Assistance limit of £315,000 over three years (including 2025/26).