Reacting to the government’s announcement on a cut in business rates for pubs, clubs and music venues, Kate Shoesmith, Director of Policy and Insight at the BCC, said: 

“While news of a carve out for pubs, clubs and music venues is welcome, there are many other smaller hospitality companies facing an existential threat. Meanwhile at the other end of the scale, airports and hotel chains are already paying millions more.  

“The last few years of Brexit, Covid, rising energy bills, wars and other geopolitical crises have pushed costs to record highs and these show no signs of waning.  

“Our latest research shows more than a third of firms believe business rates are of more concern now than they were three months ago. 

“And this anxiety is felt more sharply in some sectors, with more than half of hospitality business, and two fifths of manufacturers and transport firms fearing the worst. 

“Any action on rates is long overdue and very welcome, but root and branch reform of the system was a Labour manifesto commitment, and it is time to deliver on that promise.

“A step-by-step action plan is required. First, the government must mitigate the steep jumps in bills across all sectors caused by the 2026 revaluation. That means introducing a single flat rate multiplier and making bills easier to understand.

“This shift should then jumpstart a more rigorous consultation with business on how to fully reform what is a complex and rigid system.  

“The time for tinkering round the edges has long gone. What firms of all shapes and sizes need to see is a new plan for fair and proportionate business rates set out at the Autumn Budget. We stand ready and willing to help inform those plans.”