Cabinet has agreed to continue the Council’s Local Business Rate Reduction Scheme in 2025/26. This important scheme will provide around 750 business that already qualify for 40% rates relief from Welsh Government next year with additional support of up to £500 from the Council.
The Retail, Leisure and Hospitality (RLH) Rates Relief in Wales Scheme has been provided by Welsh Government since 2020/21 as a temporary measure to support businesses like shops, pubs, restaurants, performance venues, gyms and hotels. It was introduced in the pandemic and remains in place due to continuing pressures. So far in 2024/25, it has provided £2.2m in rates relief to over 700 qualifying businesses in the Rhondda Cynon Taf area.
Welsh Government has announced that its RLH scheme will be unchanged in 2025/26, continuing to provide 40% rates relief for businesses – with a maximum relief of £110,000 per qualifying business. Details about eligibility are available on the Council website and in Wednesday’s Cabinet report.
On top of this, the Council has provided its own financial support to businesses via the Local Business Rate Reduction Scheme – and on Wednesday, February 19, Cabinet agreed this scheme will also continue in 2025/26.
Continuing the arrangements from the current year, those businesses which receive Welsh Government’s RLH scheme will also qualify for this extra Council support of up to £500. So far in 2024/25, £225,000 in local rate relief has been awarded. It is estimated that around 750 businesses will qualify in 2025/26.
Businesses must apply to the Council for Welsh Government’s RLH scheme. Their Non Domestic Rates bill will then be adjusted, applying relief from the RLH scheme plus up to £500 from the Council’s scheme. Further details about the application process will be communicated soon, with applications for 2025/26 needing to be made by March 31, 2026. Applications for a previous financial year will not be allowed.
Councillor Christina Leyshon, Rhondda Cynon Taf Council’s Cabinet Member for Corporate Services, Youth Participation and Climate Change, said: “It’s fantastic that hundreds of businesses will continue to receive not only Welsh Government’s RLH scheme, but also the Council’s Local Business Rate Reduction Scheme. More than 700 businesses have received support this financial year – with a successful application to Welsh Government’s scheme automatically triggering the Council’s extra support.
“Welsh Government announced the RLH scheme’s extension for another year in December, noting that businesses and other ratepayers are continuing to experience pressures brought by the current economic climate. Officers recommended that, for the same reasons, the Council’s discretionary support of up to £500 should also continue next year – and I’m delighted that Cabinet Members agreed with this. It will help around 750 businesses, and will mean that some small town centre businesses will pay no business rates at all.
“The business sector was hit extremely hard during the pandemic, and the continuing high Cost of Living presents ongoing economic challenges. It is therefore right that we support traders in eligible occupied properties to help meet their rate liability. Our ongoing rate relief scheme forms part of a wider package of support to create and maintain vibrant town centres across the County Borough – which is a key commitment outlined in the Corporate Plan.
“Officers will now begin preparing the application process for Welsh Government’s RLH scheme, which will also serve the Local Business Rate Reduction Scheme. The Council will clearly communicate the application requirements for 2025/26 in due course. Please also be aware that applications for the current year (2024/25) will remain open until March 31, 2025.”
Find out more about the current year’s RLH scheme and Local Business Rate Reduction Scheme on the Council’s website, including eligibility and how to apply before the upcoming deadline on March 31, 2025.
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