£460m in rates support to help businesses struggling with cost rises
All businesses in Wales will benefit from new rates support from the Welsh Government to help with the effects of rising costs.
A package of support worth more than £460m over the next two financial years will be announced in the Welsh Government’s upcoming draft Budget.
The package will provide a boost to businesses across Wales which are struggling to cope with the impacts of high inflation and surging energy costs. It operates in addition to permanent relief schemes from the Welsh Government which are already providing £240m of relief to ratepayers across Wales this year.
The non-domestic rates multiplier has been frozen for 2023-24, at a cost of more than £200m over the next two years. This ensures there will again be no inflationary increase in the amount of rates businesses and other ratepayers are paying.
A further £113m will be provided over the next two years to provide transitional relief for all ratepayers whose bills increase by more than £300 following the UK-wide revaluation exercise, which takes effect on 1 April 2023.
Another £140m will support businesses in the retail, leisure and hospitality sectors. Eligible ratepayers will receive 75% non-domestic rates relief for 2023‑24, a rise from the 50% relief provided in 2022-23.
Minister for Finance and Local Government, Rebecca Evans said:
“We know that businesses are feeling the pressure of spiralling energy costs and rising inflation, while they are still recovering from the impacts of the pandemic.
“We want businesses to know now that we will continue to apply substantial discounts to their rates bills, and that this package of support will help businesses to thrive in the hard times we know they are facing.”
Minister for Economy, Vaughan Gething said:
“We want Wales to be an attractive place to live, study, work and invest, with businesses supported to deliver a stronger, fairer, greener Welsh economy.
“The additional support we have announced today will help us provide more certainty for businesses despite rising costs. I remain fully committed to moving the economy forward by supporting businesses to grow and thrive.”