Government has been urged to introduce wider business rates relief following the Prime Minister’s announcement that pubs will receive a 20 per cent reduction.
In his first week as PM, Andy Burnham announced today (July 23) that pubs, clubs and live music venues in England will receive a 20 per cent cut to their business rates bills, saving the typical pub an estimated £1,100 next year. The cut comes on top of the 15 per cent relief already announced.
In the announcement from Downing Street, it said the changes will be fully funded, including through reviewing reliefs for businesses that do not make a positive contribution to local communities, such as vape shops. The Government will also crack down on businesses that sell through online marketplaces but do not comply with their tax obligations, putting them at an unfair advantage over businesses that play by the rules.
The Prime Minister commented: “For too long, governments have stood by while cherished venues have disappeared from our local high streets. So today I am changing that. This government will back the businesses that people want to see in their communities. I said I would protect pubs and local high streets – the beating heart of our communities – and that’s what we will do. What we’re announcing today is just the start as we work to bring back hope across the country.”
However, the move has been met with concern by the British Independent Retailers Association (Bira), which said other high street businesses have been left behind and called for wider support.
Andrew Goodacre, CEO of Bira, commented: “Once again, pubs, clubs and music venues are being given special treatment on business rates. This follows the discount they were given after last year’s disastrous changes to the system. My question is straightforward – what about the rest of the high street, when other businesses have seen a 15 per cent increase this year and their business rates bill more than double since 2024? If the Prime Minister is serious about revitalising high streets, he cannot only support pubs in this way. Seventeen thousand shops closed in 2025, plus many thousands of jobs lost, and that number will keep rising if these businesses continue to be overlooked.”
