Multiplier

The pence-in-the-pound rate the government sets each year. Your rates bill is roughly Rateable Value × multiplier, before any reliefs are applied.

The multiplier is the pence-in-the-pound figure the government sets each financial year and applies to your rateable value to produce your bill, before any reliefs. As a rough rule of thumb it is around 50p in the pound, so a property with a £20,000 rateable value has a bill of very roughly £10,000 a year before relief.

There are usually two multipliers: a standard multiplier and a lower small business multiplier for smaller properties. The exact figures change every year and are confirmed by government, so check the current year's numbers rather than relying on the rule of thumb.

Because the multiplier is applied to your rateable value, it magnifies any error in that value: if your rateable value is set too high, the multiplier turns that single mistake into a larger bill every year until it is put right.