Business Rates are also known as National Non-Domestic Rates (NNDR).
Rates are collected by Councils as a way for businesses (and others who occupy non-domestic property) to make a contribution towards the cost of local services.
The rates are pooled by central government and redistributed by Councils according to the number of people living in the area (except in the City of London where special arrangements apply).
The Business Rates money (with revenue from Council Tax payers, a revenue support grant provided by the Government and other sums) is used to pay for the services provided by the Council and other local authorities.