The Non-Domestic Rating (Value of Differential Multipliers) (Wales) Regulations 2026

Made: 11 February 2026

Coming into force: 1 April 2026

The Welsh Ministers make the following Regulations in exercise of the powers conferred on them by paragraph A16(2)(b) and (3) of Schedule 7 to the Local Government Finance Act 1988[^f00001].

These Regulations have been laid before Senedd Cymru in accordance with the Senedd approval procedure under section 143A(5)(m) of that Act[^f00002].

Title and coming into force

1

• (1) The title of these Regulations is the Non-Domestic Rating (Value of Differential Multipliers) (Wales) Regulations 2026.

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

Prescribed values of the retail multiplier and the higher multiplier

2

• (1) For the purposes of paragraph A16(2)(b) of Schedule 7 to the Local Government Finance Act 1988, the value of N—

• (a) for the retail multiplier described in regulation 3 of the 2025 Regulations is 0.697;

• (b) for the higher multiplier described in regulations 4 and 5 of the 2025 Regulations is 1.026.

• (2) In this regulation, “the 2025 Regulations” means the Non-Domestic Rating (Description of Differential Multipliers) (Wales) Regulations 2025[^f00003].

Signed

Mark Drakeford — Cabinet Secretary for Finance and Welsh Language, one of the Welsh Ministers — 11 February 2026

Explanatory note

(This note is not part of the Regulations)

EXPLANATORY NOTE

In relation to Wales, the non-domestic rating multiplier for each chargeable financial year is calculated in accordance with Part A2 of Schedule 7 to the Local Government Finance Act 1988 (“the 1988 Act”).

Where regulations made under paragraph A16 of Schedule 7 to the 1988 Act (calculation of differential multipliers) apply in respect of a hereditament, a differential multiplier determined by the Welsh Ministers in regulations applies in respect of that hereditament, calculated by reference to the formula in paragraph A16(1). The formula requires M to be multiplied by N, where M is the non-domestic rating multiplier for the chargeable financial year under paragraph A14 or A15, and N is a number prescribed by the Welsh Ministers in regulations.

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

These Regulations prescribe the values of those differential multipliers by designating values to N. The value of N for the purpose of the retail multiplier described by regulation 3 of the 2025 Regulations is 0.697. The value of N for the purpose of the higher multiplier described by regulations 4 and 5 of the 2025 Regulations is 1.026. This has the effect of setting the retail multiplier and the higher multiplier, respectively, at 30.3% below and 2.6% above the non-domestic rating multiplier for the relevant financial year.

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. See section 146(6) for the definition of “prescribed”. 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]: 2025/1163 (W. 190).