Most sectors are set for a significant increase in rateable value (RV) and subsequent business rates bills, the government’s draft rating list for the 2026 revaluation has revealed.

Industrial and logistics and prime offices are among the biggest “revaluation losers”, according to John Webber, head of business rates at Colliers.

However, both sectors were dwarfed by the biggest loser, civil airports, which will see RVs surge by 29%, primarily because the last list was based on the low 2021 rental values influenced by Covid.

Overall, the 2.13 million properties in the ratings list in England and Wales have increased by 19.2%, seeing cumulative RVs go from £70.78bn to £84.4bn.

Industrial and logistics operators will foot some of the largest surges in bills when the new revaluation comes into force next April, with total sector RVs in England jumping from £18.5bn to £22.4bn – an increase of 21.1%.

“In addition, in most cases, the sector will be paying the higher multiplier of 50.8p plus 1p, with large increases in their bills,” said Webber.

Rateable values have risen across all sectors

RVs will also rise in the office sector, although the levels are more location dependent. In England, total RVs for offices will increase from £15.7bn to £18bn – a rise of 14.4%. The hardest-hit area, inner London, will see an increase of 14.1%, from £8.5bn to £9.7bn.

The retail sector has the broadest mix of “winners and losers”, according to Webber. In England, the total RV will increase 9.3%, from £14.1bn to £15.4bn. However, Oxford Street will see a decrease of between 2% and 20%, The Moor in Sheffield will decrease by around 9% and St David’s in Cardiff will slide 6%. Meanwhile, Sloane Street in London is set for a 35% to 46% increase.

Retailers with an RV of under £500,000 will benefit from the lower retail, hospitality and leisure (RHL) multipliers, confirmed at the Budget. However, since many of these properties will fully lose their RHL relief next April, Webber said “it is questionable whether this discount will be enough to counter the loss of reliefs, particularly with RVs rising”.

Hotels have generally lost out from the revaluation – with RVs going up by 76% across the country. Premier Inn owner Whitbread has announced £60m in cuts in response.

Film studios were among the winners, with their RVs set to reduce by 26.7%.

Webber said: “There is a common theme on the draft 2026 rating list: inconsistency and confusion.

“The 2023 rating list had a valuation date of 1 April 2021. In reality, as it was sitting in a Covid lockdown period when many businesses were actually prevented from opening, these values are built on a lack of evidence.

“As the 2021 rating list was postponed because of Covid, and had a valuation date of 1 April 2019 and had largely been completed before being shelved, the 2023 rating list was in effect a fudge on that list that never saw the light of day. As such, the base of the 2023 rating list is built on sand and this is at the heart of the inconsistencies we are seeing on the draft 2026 rating list.

“Our advice to businesses is: get appealing your 2023 rating list entry before even looking at 2026.”