“This support package will help them manage the transition to updated rates bills while we deliver on our commitment to a fairer rates system,” said Mark Drakeford as Wales confirmed a new two‑year phase‑in of business rates increases from April 2026. The Welsh Government has set aside £116m to smooth bills after the 2026 revaluation.

Under the regulations, any business in Wales facing a revaluation‑driven rise of more than £300 will see only a third of that increase in 2026‑27 and two‑thirds in 2027‑28, before paying the full amount in 2028‑29. The scheme applies to properties on local lists and the central list, and is fully funded by the Welsh Government.

Eligibility is straightforward but tight. The same ratepayer must have occupied the property on 31 March 2026 and still be liable when the relief applies. The property must appear on the rating list on that date and on the relevant days, and partially occupied properties with a section 44A apportionment are outside the scheme.

Councils in Wales will apply the relief automatically where the conditions are met; ratepayers on the central list will be adjusted by the Welsh Government. Authorities have been told to give clear information and to identify the total relief in their NDR1 and NDR3 returns. If your bill looks off, contact your council to query the calculation.

Alongside the relief, ministers have confirmed differential multipliers from 1 April 2026: a standard multiplier of 0.502 for most properties, a lower retail multiplier of 0.350 for small to medium shops, and a higher multiplier of 0.515 for the largest properties. The standard rate cut is the first since 2010.

For Northern firms with depots, shops or workshops across the border in North Wales-from Deeside and Wrexham through to the A55 corridor-this means Welsh bills will follow Welsh rules. Don’t assume English reliefs or multipliers apply to those sites; check each Welsh bill against the new multipliers and the phase‑in.

A quick sense‑check for finance teams: if a unit’s bill was due to jump by £1,500 in 2026‑27 purely from the revaluation, the relief knocks £1,005 off in year one and £510 off in year two. By 2028‑29, the full increase flows through unless other reliefs apply.

There are some easy pitfalls to avoid. If the occupier changes after 31 March 2026, entitlement stops for that property. If the chargeable amount falls during the period, the deduction is recalculated from the effective date of the decrease, but it is not recalculated for general inflation in 2027‑28. Empty properties can still benefit after any initial empty property relief period, provided the occupier was the same on 31 March 2026.

The regulations take effect for bills issued from April 2026, following publication on legislation.gov.uk this month. Welsh billing authorities-including in Wrexham, Flintshire and Denbighshire-will handle the roll‑out locally, while the Welsh Government manages central‑list bills. Keep an eye on council notices and Business Wales updates as rateable values and bills land early in the new year.