Most firms set to see ‘little or no change’ as NI business rates revalued

The majority of Northern Ireland businesses are expected to see “little or no change” in rates as a draft list of revaluations for commercial properties has been released.

But the Department of Finance has indicated that properties that have seen above average increases in their value will likely see their overall rating liability increase, resulting in a higher rate bill.

Land & Property Services (LPS) is encouraging businesses to view the draft list which will be used to calculate business rates from April 1 2026.

The 2026 project has revalued more than 75,000 properties, with an approximate 15% increase in the total value of non-domestic properties across Northern Ireland since the last revaluation was carried out in October 2021.

Non-domestic rates generate around £720 million a year, and the Department of Finance says revaluations do not raise additional income but are adjusted to maintain revenue neutrality.

Commissioner of Valuation for Northern Ireland Angela McGrath said the 2026 revaluation was “about ensuring that rates are distributed fairly based on current rental evidence”.

“Businesses are currently paying rates based on rental levels that reflect the economic and market conditions during the pandemic in October 2021,” she said.

“The majority of non-domestic properties are expected to see little or no change in their rates liability.

“I would encourage ratepayers to go online to review the new valuation to be applied to their property and that of similar properties.

“LPS will review any new or relevant information ratepayers wish to bring forward now and make updates where appropriate before the new valuation list takes effect in April 2026.”

The revaluation project shows overall growth in the valuation list of 15% across all property sectors.

Office values have increased overall by around 9%, driven largely by growth in Grade A offices concentrated in Belfast.

Across Northern Ireland, retail property values have increased overall by around 9% compared to 2023, with stronger growth in Belfast and more moderate uplifts elsewhere.

During the previous revaluation, the hospitality sector was significantly impacted by the pandemic, resulting in lower rateable values at the valuation date.

While some hospitality businesses will see a decrease in their valuation this time round, the majority will see a substantial increase due to factors such as improved conditions post-pandemic, and expansion and improvement work to premises.

The Department of Finance said that although the revaluation was revenue neutral overall, individual rate liabilities would shift, meaning that a percentage increase in a property’s value would not lead to a rate bill rising by the same percentage.

Typically, properties that have seen above average increases in their value will likely see their overall rating liability increase, resulting in a higher rate bill.

Around 75% of non-domestic properties are currently entitled to some form of rate relief through schemes provided by the Department of Finance, through Land & Property Services, amounting to around a quarter-of-a-billion pounds worth of relief.

Business rates apply to most non-domestic premises, including shops, offices, warehouses, factories, hotels, pubs and utilities such as gas, water, electricity and wind farms.