Sector guide · England and Wales · 2026/27

Business rates for cafés and coffee shops (2026/27)

Yes, cafés and coffee shops pay business rates. In England they’re among the businesses GOV.UK lists for the lower hospitality multipliers: 38.2p under £51,000 for 2026/27. A café that is the business’s only property, with a rateable value of £12,000 or less, pays nothing.

Which multiplier applies

GOV.UK lists cafés among the businesses that can use the lower retail, hospitality and leisure multipliers (38.2p under £51,000, 43p from £51,000 to £499,999). Your council confirms eligibility.

Rateable value (England, 2026/27)	Standard	Retail, hospitality and leisure
Under £51,000	43.2p	38.2p
£51,000 to £499,999	48p	43p
£500,000 or more	50.8p	50.8p

How cafés are valued

Most cafés are valued like shops, on the floor area of the premises and a price per m², often zoned. Compare yours with similar cafés and shop units on the same street.

Reliefs to ask about

Small business rate relief: nothing to pay in England if it’s your business’s only property and the rateable value is £12,000 or less; tapering to £15,000.
Supporting small business relief if you lost relief at the 2026 revaluation, and transitional relief if your bill is rising because of it.
Wales: cafés are not covered by the Welsh retail multiplier. Wales has its own food and drink hospitality relief for 2026-27; ask your council or Business Wales.
If you lost RHL relief at the revaluation, supporting small business relief may cap your increase.

Is your café rateable value in line with similar properties?

Compare your 2026 rateable value with similar properties nearby. About 30 seconds, no sign-up, no card.

Estimate your bill with the 2026/27 business rates calculator, or read how to challenge a valuation.

Questions

Do cafés pay business rates?

Yes. In England for 2026/27 an eligible café under £51,000 pays rateable value × 38.2p, less any relief. A single café property with a rateable value of £12,000 or less pays nothing under small business rate relief.

Business rates for cafés by council area

Typical 2026 values for cafés in each council area with at least 20 of them.

Sources

Checked against GOV.UK and Business Wales on 13 October 2026. Rules change; if anything differs, GOV.UK and your council are right. Rightly Rated is not affiliated with or endorsed by the Valuation Office, HMRC or any council.

Rightly Rated is a self-serve evidence tool, not a rating surveyor or adviser. Figures come from the Valuation Office’s published 2026 rating list and from what you tell us. We do not act for you with the Valuation Office, and a challenge can lower, keep or raise a rateable value.