The non-domestic rating multiplier is a key factor in the calculation of your rates bill. It is set annually by central government and determines the percentage expressed as pence in the pound of the rateable value of your property that you will pay in business rates. For example, in 2011/12 the non-domestic rating multiplier is 43.3p. If the rateable value of your property was £25,000, you would multiply it by 43.3p to get a total for the year of £10,825. If you are entitled to any transitional arrangements or reliefs, this sum is then adjusted to reflect them, making a final total for your rates bill. The multiplier usually changes each year in line with inflation.
From 1 April 2011, the two multipliers are:
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The small business multiplier, applicable to those businesses eligible for Small Business Rate Relief, set at 42.6p.
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The standard multiplier, which includes the supplement to pay for Small Business Rate Relief, set at 43.3p.
