Non-domestic rates, or business rates, collected by local authorities are the way that those who occupy non-domestic property contribute towards the cost of local services. 

The rates are pooled by central government and redistributed to local authorities according to the number of people living in the area. The money, together with other revenue is used to pay for council services. 

Business premises are given a rateable value. The business rates you are charged are calculated using the rateable value and the multiplier set by the government. In England, the standard multiplier for the financial year 2010-11 is 41.4 pence. For example, a property with a rateable value of £10,000 is normally charged £4,140, excluding any discounts or reductions that may be applicable.