The Welsh Government has confirmed changes to the non-domestic rates system from 1 April 2026, introducing a three-tier multiplier and a new Transitional Relief scheme, as set out in its Written Statement: Non-domestic rates support for 2026–27 (3 December 2025).
From April 2026, Wales will move away from a single multiplier (currently 56.8p) to three sector- and value-based rates:
- Retail properties (RV below £51,000) – 35.0p
- Standard (non-retail) properties – 50.2p
- Properties with RV £100,000 and above – 51.5p
The Welsh Government expects the lower retail multiplier to reduce eligible business rates bills by around £20 million, while the higher multiplier for large properties will help fund the change. This follows the 15.2% increase in rateable values (RVs) for the 2026 draft rating list which was published back in November. A new Transitional Relief scheme worth £116 million over two years will also soften the blow for businesses whose liabilities rise by more than £300 as a result of revaluation.
This additional support sits alongside £250 million per year already provided through permanent business rates relief schemes. Around two-thirds of properties in Wales currently pay no rates or receive some form of relief.
For reference, the Draft 2026 Rating List for England and Wales was published on 26 November, and ratepayers can check their new valuations via Find a business rates valuation – GOV.UK.
If you need any advice regarding your rating liabilities or eligibility for the new Transitional Rate Relief can info@dunlopheywood.com.