Business rate revaluations will take place every three years rather than the current five, the Government has confirmed.

HM Treasury – which unveiled the plans on Tuesday, 29 June – said the new system will be “fairer and more streamlined”.
While business rates were waived on almost all retail, hospitality and leisure sector premises during the coronavirus pandemic, experts have raised concerns that the current system of five-yearly revaluations do not accurately reflect the wider economic conditions – meaning businesses could be paying much more than they should in the wake of Covid-19.
Addressing calls, HM Treasury said the new system will see revaluations of non-domestic properties take place every three years rather than five – ensuring they “better reflect changing economic conditions”.
Commenting on the changes, Financial Secretary to the Treasury Jesse Norman said the proposals will help businesses “build back better”.
“Proposals set out in this consultation would mean that valuations more quickly reflect how the economy is performing, making the business rates system more accurate and responsive, while balancing the burden for ratepayers,” she said.
The announcement forms part of a wider review of business rates set to conclude this autumn. Launched last year, the Fundamental Review of Business Rates could introduce changes to the rates multiplier and alternative ways of taxing non-residential property.
Due to the impact of the pandemic, the next business rates revaluation is set to take place in 2023, based on 2021 rental values.
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