Firms with no changes to report when applying for business rates relief will now only have to file a claim once every five years, the government has announced.

Ministers revealed the government will extend the application process for its Small Business Rate Relief (SBRR) from once a year to every five years for companies whose circumstances do not change.

Currently, firms with rateable values below £5,000 are entitled to 50% rate relief under the scheme, which decreases on a sliding scale by 1% for every £100 of rateable value over £5,000 up to £10,000.

“The Order we have laid in parliament will allow small business, whose circumstances have not changed, to apply only once for small business rate relief for a period of up to five years,” said local government mnister Phil Woolas.

Small business minister Margaret Hodge added that the move should benefit 400,000 businesses using the scheme and is the latest step in the government’s drive to cut red tape and improve business conditions.

The deadline for small businesses that wish to apply for rate relief is 30 September.