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Small Businesses: Coronavirus and Taxation

Asked by Alex BrewerLiberal DemocratDepartment for Business and TradeTabled Answered 1 July 2026UIN 13373

The question

To ask the Secretary of State for Business and Trade, if he will make a comparative assessment of the potential impact of (a) the covid-19 pandemic and (b) increases in business rates and National Insurance contributions on small and medium-sized enterprises.

Answered by Blair McDougall

DBT has no current plans to make a comparative assessment of the potential impact of the covid-19 pandemic and increases in business rates and NI contributions on SMEs.

At the Budget 2026, the Valuation Office announced updated property values from the 2026 revaluation. This revaluation has led to significant increases in rateable values for some properties as they recover from the pandemic.

The Government has already acted to limit increases in bills, including a support package worth £4.3 billion. We are also introducing new permanently lower tax multipliers for eligible retail, hospitality and leisure (RHL) properties. These new tax rates are worth nearly £1 billion per year benefiting over 750,000 properties.

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