The March Countdown: Preparing for the 2026 Business Rates Revaluation

As March draws to a close, a critical date for businesses across the UK, and particularly in the bustling capital, looms ever larger: the 2026 Business Rates Revaluation. While 2026 might seem a distant future, the foundation for this next revaluation is already set – based on property values as of **April 1st, 2024**. For London businesses, understanding this impending shift, combined with the government’s £4.3 billion support package, is not just prudent but essential for strategic planning.

Here at Compare The Offices, we’re dedicated to equipping you with the insights needed to navigate these complex waters. This comprehensive guide will demystify the upcoming revaluation, explore its potential impact on commercial properties, particularly serviced offices in London, and highlight the critical support mechanisms available.

Understanding the VOA and the 2026 Revaluation Basis

The Valuation Office Agency (VOA) is the government body responsible for setting the Rateable Values (RVs) of all non-domestic properties in England and Wales. These RVs are crucial as they form the basis for calculating business rates bills. The VOA undertakes a revaluation periodically to ensure that RVs reflect changes in the property market.

The next revaluation will come into effect on **April 1st, 2026**. Critically, the Rateable Values for this revaluation will be based on property rental values as of a fixed date: **April 1st, 2024**.

This ‘Antecedent Valuation Date’ (AVD) is key. It means that market changes between April 2024 and April 2026 will not influence the RVs for the new list, only values up to that specific point. Sectors that have seen significant rental growth (e.g., prime office spaces, logistics hubs) may face substantial increases, while others might see stability or even reductions.

The £4.3 Billion Support Package: What You Need to Know

Recognising the potential for significant shifts in rates liabilities following a revaluation, the government has announced a substantial **£4.3 billion business rates support package** to be implemented over the next five years, starting from **April 1st, 2024**. This package is designed to provide stability and support to businesses, helping them transition to new Rateable Values.

Key components of this package include:

• Transitional Relief: This scheme caps how much a business rates bill can increase or decrease each year following a revaluation.
• Retail, Hospitality, and Leisure (RHL) Relief Scheme: Provides a discount of up to 75% on bills for eligible properties.
• Small Business Rate Relief (SBRR): Significant reductions for small properties with low RVs.

Serviced Offices in London: A Strategic Advantage

For many businesses, the unpredictability of business rates can be a major headache. This is precisely why serviced offices in London are increasingly viewed as a strategic advantage:

• Predictable Costs: Your monthly fee is fixed, providing budgeting certainty regardless of revaluation changes.
• Reduced Administrative Burden: You don’t have to deal with complex rates calculations or applications for relief.
• Flexibility: Shorter contracts allow businesses to pivot quickly or relocate without being tied to long-term liabilities.

Spotlight: Exceptional Serviced Offices in London

Data Insights: Visualising the Impact

The 2026 revaluation will not affect every borough or sector uniformly. Our projections suggest that tech-heavy districts may see higher adjustments compared to traditional retail sectors.

Frequently Asked Questions

Everything you need to know about the upcoming rating changes and how to protect your business.