Business rates will be cut by 20% for pubs, clubs, and live music venues in England starting April next year, according to a government announcement.
32,000
Hospitality businesses are expected to benefit from the discount.
A typical pub will save approximately £1,100 annually under the new measure. However, the very largest live music venues will not be eligible for the reduction.
Greater Manchester Mayor Andy Burnham previously pledged to raise taxes from e-commerce warehouses to fund the rate cut for hospitality businesses.
The government also announced it will review reliefs for what it described as 'anti-social' businesses. Kate Nicholls, chief executive of UKHospitality, stated that the hospitality sector has seen an additional £6bn in taxes over the last two years.
We are still awaiting the full details and eligibility criteria.
— A hospitality industry spokesperson
We welcome this as a positive down payment on the PM’s commitment.
— Kate Nicholls, chief executive of UKHospitality
Updates
The announced business rates reduction, introduced by Andy Burnham's government, currently excludes restaurants, cafes, hotels, and the largest live-music venues. Further details regarding eligibility criteria are expected at the autumn Budget, where the Prime Minister has reportedly committed to reviewing these provisions.
The business rates reduction, which is part of Prime Minister Andy Burnham’s latest cost-of-living measures, will exclude restaurants, cafes, hotels, and the largest live-music venues. While the sector welcomes the support, industry representatives are seeking further clarity on eligibility criteria ahead of the autumn Budget. Stakeholders have noted that the policy does not go far enough given the significant tax increases faced by the wider hospitality sector over the past two years.
The 20% business rates cut has been confirmed as the third major cost-of-living measure introduced by the new government. While the policy provides relief to pubs and live music venues, it explicitly excludes the largest music venues, restaurants, cafes, and hotels. Full eligibility criteria and further details are expected to be announced during the autumn Budget, a move that industry representatives suggest aligns with the Prime Minister's commitment to revisit sector support.
