Businesses Urge MPs to Expand Rate Relief Beyond Pubs as U-turn Looms
High street businesses have called on the Government to expand business rate relief plans beyond pubs following reports of an impending U-turn. The Treasury is understood to be preparing a support package for the pub industry, due to be announced in the coming days, following an outcry over the impact of a major hike in rates.
However, Business Live is reporting that ministers now face pressure to expand that support to other businesses, with trade bodies saying “piecemeal responses” will not “save our high streets”. Opposition politicians have also urged the Government to go further.
Kate Nicholls, chairwoman of UKHospitality, called for “a hospitality-wide solution”, saying the entire industry is affected by business rate hikes, not just pubs.
Figures provided by UKHospitality suggest hotels in England face an average increase in business rates of 115% by 2030, compared with a 76% increase for pubs.
Jon Collins, chief executive of music venue body LIVE, said: “If the Government is preparing a U-turn on business rates for pubs, it must not leave live events and arenas behind.”
The National Pharmacy Association called for similar support for pharmacies, which chief executive Henry Gregg said face a 140% increase in rates.
He said: “We’re urging the Government to exempt pharmacy businesses from business rates altogether, in the same way as GPs are.”
The rise in rates is due to a combination of properties being revalued and the withdrawal of Covid-era discounts announced by Chancellor Rachel Reeves in November.
Ministers had put in place a £4.3bn fund to help pubs with the transition to higher rates, but sources said Ms Reeves would soon announce additional support including further business rates relief and measures to cut licensing red tape.