What Are Business Rates & How The Business Centre Manages Them for You

what are business rates uk and how the business centre manages them for you

If you rent a non-domestic property such as an office, you’ve likely received your business rates bill for the upcoming tax year. Across the UK, local councils issue these bills in February or March each year, so it’s likely landed in your inbox or on your desk recently.

But what if your office costs were simpler, where business rates are already included in an all-inclusive monthly bill, leaving you free to focus on running your business instead of managing extra bills and calculations?

In this blog, we explain, what are business rates, share resources on how to work out business rates, and explore how choosing The Business Centre could mean you don’t have to deal with them at all!

What Are Business Rates?

According to GOV.UK, business rates are a charge made by your local council on most non-domestic properties.

If you rent a building, or part of one, for non-domestic purposes, you are required to pay these costs.

This includes properties such as:

  • Offices
  • Warehouses
  • Factories
  • Shops
  • Pubs
  • Holiday rental homes or guest houses

How to Work Out Business Rates

The amount you pay is based on:

  • Your property’s rateable value
  • The multiplier set for that tax year

You can estimate how much you’ll pay using the step-by-step guide available here.

Get Help From a Professional Agent or Rating Surveyor

If handling business rates on your own feels overwhelming, you don’t have to do it alone. You can appoint a professional agent or rating surveyor to assist with the process. Guidance on how to formally appoint an agent is available here.

Agents can be found through recognised professional bodies, including:

Professional advice may come with a fee from the start, but some organisations offer initial support at no cost. For example, the RICS Helpline Scheme provides a free consultation for the first 30 minutes.

Are You Eligible for Business Rates Relief?

Do I qualify for Small business rate relief

Not every business pays business rates in full. 

Your local council may offer you reductions if you qualify under one or more business rates relief schemes. Some businesses are eligible for a discount depending on their size, property type, or circumstances.

Full details on the types of business rates relief can be found here.

If you’re unsure whether you qualify, it may be worth checking before finalising your annual budget.

How Business Rates Impact Your Office Costs

Now that you have an overview on what business rates are, resources on how to calculate business rates, and guidance on reductions, let’s take a closer look at how they impact your overall office costs.

Business rates are one of the biggest contributors to rising office costs. They can range between £150–£900+ every month in Cardiff and the Vale. For many companies, these are simply accepted as part of occupying commercial premises. They are calculated, budgeted for and paid, often alongside several other operational costs.

But the structure of how those costs are presented can make a significant difference to how manageable they feel.

Office Costs Beyond Rent

When assessing a workspace, the base rent is usually the figure that attracts attention first. However, once additional elements are accounted for, the total monthly outlay may look very different.

Using the average local ranges:

  • Business Rates: £150–£900 per month
  • Utilities: £75–£200 per month
  • Parking: £40–£150 per month
  • Internet/Telecom: £50–£120 per month
  • Cleaning: £40–£80 per month

None of these costs are unusual. They are standard components of operating from commercial premises. The key distinction lies in whether they are managed individually or consolidated within one arrangement.

A Different Way to Think About Business Rates: A Consolidated Model

Now here’s where many business owners start asking a different question:

What if you didn’t have to manage business rates at all? Instead, your office space did that for you. 

we manage business rates at the business centre

At The Business Centre, we include business rates in our office packages. They are not billed separately (*Ts&Cs apply). Everything is included in a single, simple monthly fee. No council paperwork, no complex calculations, no surprise increases at renewal. *The only exception is, businesses with three or more offices or business addresses are required to pay business rates separately.

In contrast, in a conventional lease arrangement, business rates are handled separately from rent. The occupier receives the council demand directly and is responsible for ensuring payment, tracking changes in rateable value and reviewing adjustments each tax year.

Choosing The Business Centre removes all of that, freeing you from these tasks and consolidating your overheads, so you gain more headspace to focus on what matters most – running your business.

One Simple Monthly Cost Covers It All 

One straightforward payment covers it all at The Business Centre, making it easier to plan, budget, and operate with confidence. It’s a simple approach that turns one of the trickiest parts of running an office into something effortless: clear costs, no extra admin, and peace of mind. Click this link for an in-depth look at business rates in Wales. Have you read our Office Space Guide? If not, it’s a valuable resource packed with insight on choosing the right workspace and a breakdown of office costs, so you can make a confident, informed decision.

It’s free! Download it here.

If you’re ready for an office space that manages business rates and more for you, contact The Business Centre today:

Let’s talk: 0800 634 9920 / 01446 739911 | Drop us an email: [email protected] | Get your free quote: https://www.thebusinesscentreonline.co.uk/get-a-quote

We provide combine maintenance, business support, and so much more in an all-inclusive office package, so you can enjoy less administrative stress and more headspace to focus on your business!