The Non-Domestic Rating (Description of Differential Multipliers) (Wales) Regulations 2025

Made: 5 November 2025

Coming into force: 1 April 2026

In accordance with section 143A(5)(m) of that Act, a draft of this instrument has been laid before and approved by resolution of Senedd Cymru[^f00002].

Title and coming into force

1

• (1) The title of these Regulations is the Non-Domestic Rating (Description of Differential Multipliers) (Wales) Regulations 2025.

• (2) These Regulations come into force on 1 April 2026.

Interpretation

2

In these Regulations—

• “the Act” (“y Ddeddf”) means the Local Government Finance Act 1988;

• “central list” (“rhestr ganolog”) means a list compiled and maintained under section 52ZA of the Act[^f00003];

• “chargeable day” (“diwrnod y codir swm ynglŷn ag ef”), has the following meanings— in relation to occupied hereditaments shown in a local list, has the meaning given in section 43(3) of the Act; in relation to unoccupied hereditaments shown in a local list, has the meaning given in section 45(3) of the Act; in relation to hereditaments shown in a central list, has the meaning given in section 54(3) of the Act;

• “hereditament” (“hereditament”) has the meaning given in section 64 of the Act[^f00004];

• “local list” (“rhestr leol”) means a list compiled and maintained under section 41ZA of the Act[^f00005];

• “rateable value” (“gwerth ardrethol”) means the value calculated under Schedule 6 to the Act[^f00006].

Description of retail multiplier

3

• (1) For the purposes of paragraph A16(1)(a) of Schedule 7 to the Act, there is a retail multiplier.

• (2) The retail multiplier applies to hereditaments on a local list that on the chargeable day concerned—

• (a) have a rateable value of less than £51,000, and

• (b) are described on that list as—

• (i) “kiosk and premises”,

• (ii) “pharmacy and premises”,

• (iii) “post office and premises”,

• (iv) “shop and premises”, or

• (v) “shop, post office and premises”.

Description of higher multiplier

4

• (1) For the purposes of paragraph A16(1)(a) of Schedule 7 to the Act, there is a higher multiplier.

• (2) The higher multiplier applies to hereditaments on a local list that on the chargeable day concerned—

• (a) have a rateable value of more than £100,000, and

• (b) are not described on that list as—

• (i) “ambulance station and premises”,

• (ii) “auxiliary defence establishment and premises”,

• (iii) “cemetery and premises”,

• (iv) “college and premises”,

• (v) “crematorium and premises”,

• (vi) “fire station and premises”,

• (vii) “health centre and premises”,

• (viii) “hospital and premises”,

• (ix) “law court and premises”,

• (x) “leisure centre and premises”,

• (xi) “library and premises”,

• (xii) “museum and premises”,

• (xiii) “police station and premises”,

• (xiv) “prison and premises”,

• (xv) “school and premises”,

• (xvi) “sports centre and premises”,

• (xvii) “surgery and premises”,

• (xviii) “swimming pool and premises”, or

• (xix) “university and premises”.

5

• (1) For the purposes of paragraph A16(1)(b) of Schedule 7 to the Act, there is a higher multiplier.

• (2) The higher multiplier applies to hereditaments on the central list that have a rateable value of more than £100,000.

Signed

Mark Drakeford — Cabinet Secretary for Finance and Welsh Language, one of the Welsh Ministers — 5 November 2025

Explanatory note

(This note is not part of the Regulations)

EXPLANATORY NOTE

Paragraph A16(1) of Schedule 7 to the Local Government Finance Act 1988 (“the 1988 Act”) provides that the non-domestic rating multiplier for a chargeable year for a description of hereditaments on a local non-domestic rating list, or for an amount of a rateable value shown against the name of a designated person in the central non-domestic rating list, may be specified in regulations made by the Welsh Ministers.

These Regulations specify the hereditaments on a local non-domestic rating list by reference to their description and range of rateable values, to which a retail multiplier and a higher multiplier will apply. They also specify the range of rateable values shown against the name of a designated person on the central non-domestic rating list to which a higher multiplier will apply. The values of those differential multipliers will be prescribed by the Welsh Ministers in separate regulations made under paragraph A16(3) of Schedule 7 to the 1988 Act.

Hereditaments on a local non-domestic rating list to which a retail multiplier and a higher multiplier apply are specified by application of paragraph A16(1)(a), (4)(a) and (4)(c) of Schedule 7 to the 1988 Act. The range of rateable values to which a higher multiplier applies as shown against the name of a designated person on the central non-domestic rating list are specified by application of paragraph A16(1)(b) and (5) of Schedule 7 to the 1988 Act.

The Welsh Ministers’ Code of Practice on the carrying out of Regulatory Impact Assessments was considered in relation to these Regulations. As a result, a regulatory impact assessment has been prepared as to the likely costs and benefits of complying with these Regulations. A copy can be obtained from the Non-Domestic Rates Policy and Reform Division, Welsh Government, Cathays Park, Cardiff, CF10 3NQ.

Footnotes

[^f00001]: 1988 c. 41. Paragraph A16 of Schedule 7 was inserted by section 10 of the Local Government Finance (Wales) Act 2024 (asc 6).

[^f00002]: Section 143A(5)(m) was inserted by section 14 of the Local Government Finance (Wales) Act 2024.

[^f00003]: Section 52ZA was inserted by section 3(3) of the Local Government Finance (Wales) Act 2024.

[^f00004]: Section 64 was amended by section 66 of the Local Government Act 2003 (c. 26), paragraph 13 of the Schedule to the Local Government Finance (Wales) Act 2024 and paragraph 2 of Schedule 10 to the Local Government Finance Act 1992 (c. 14); there are other amending instruments but none is relevant to these Regulations.

[^f00005]: Section 41ZA was inserted by section 2(3) of the Local Government Finance (Wales) Act 2024.

[^f00006]: Schedule 6 was amended by paragraph 38 of Schedule 5 to the Local Government and Housing Act 1989 (c. 42), section 1(2) and (3) of the Rating (Valuation) Act 1999 (c. 6), section 14(1)(c)(i) of the Non-Domestic Rating Act 2023 (c. 53) and paragraph 1(22) of the Schedule to the Local Government Finance (Wales) Act 2024; there are other amending instruments but none is relevant to these Regulations.