Business Rates 2026-01-27

The Government is implementing reforms to business rates, including permanently lower multipliers for retail, hospitality, and leisure properties. They are also introducing transitional support packages for those with large increases in rateable values after the pandemic, capping bill increases at 15% or less. The Government will review pub valuation methodology due to concerns from the sector. Support is being provided for pubs through a 15% discount on new bills and real-term freezes for two more years.

The Conservative Government's response is inadequate for the challenges facing local businesses. The proposed relief will only delay pain for some while bills increase dramatically; pubs face bills more than 70% higher and hotels over 100%. Labour has promised to replace the business rates system, which would level the playing field for high streets and support entrepreneurship.

The Conservative Government will review the valuation methodology for pubs and hotels this year, aiming to conclude before the next revaluation in 2029. The £4.3 billion business rates support package from last year's Budget aims at rebalancing taxes on large businesses compared to typical high street businesses.

Welcomes the Minister’s engagement and willingness to speak to the Treasury Committee. Asks for a clear timeframe for significant changes in business rates methodology and valuation procedures, highlighting the need for certainty for businesses planning.

Liberal Democrats have warned since the first Budget that high streets were at risk without making various changes over the past 18 months. Urges the Government to see these measures as just a start for saving the high street.

Welcomed the Government's package for pubs, noting that around 75% of pubs will see their bills either stay the same or fall. Acknowledged concerns about larger pubs and committed to a review of valuation methodology.

Asked if the package announced would help protect pubs as community centres, noting that the 15% reduction on revalued bills and protection for three years makes a significant contribution to this goal.

Asked why pubs and music venues were singled out, pointing out that businesses on high streets will be treated differently. Noted the complications arising from differential treatment of similar businesses.

Asked for additional support for hotels, noting their significant contribution to local economies and employment. Invited the Minister to visit a hotel in her constituency for further discussion.

Reminded the Minister that the Valuation Office Agency had provided clear data on the impact of rate rises, questioning whether the Treasury was fully informed before implementing changes. Criticised the Government's lack of foresight in addressing pub concerns.

Shared feedback from a landlady about working hours and competition with supermarket prices for alcohol. Suggested measures to address packaging costs, advocating for reuse of existing crates by breweries.

Minister provided details on the Government's high street strategy and efforts to tackle high energy prices. He emphasised the importance of long-term investment in clean and green power, as well as steps taken to reduce business rates and taxes for businesses.

Ms. Collinge welcomed today's announcement but questioned how the strategy would work with businesses and their representatives, such as the Morecambe business improvement district or Sedbergh economic partnership.

The Member criticised the statement from the Minister, noting that it ignored the significant increase in business rates for some pubs and did not address issues faced by high street retailers.

Mr. McMahon supported the Government's package for pubs but urged them to include a wider support package for the whole of hospitality, citing examples of businesses in his constituency facing significant pressures.

Ms. Olney questioned why the relief was focused only on pubs and called for better business rates relief for other types of businesses struggling with rate hikes.

Ms. Creasy welcomed support for pubs but argued that the Government should provide further support to smaller independent venues such as cafés and community centres, highlighting their importance in community life.

Mr. Pritchard criticised the statement from the Minister, noting that it was too little, too late for many pubs in Shropshire and called for a forward timetable to help businesses plan their futures.

Mr. MacNae thanked the Minister for his positive engagement and willingness to listen, emphasising that fundamental reform of business rates was needed.

Ms. Smart highlighted concerns from William Robinson, managing director of Robinsons Brewery, about repeated changes in the system causing uncertainty for businesses making investment decisions.

Welcomed changes for pubs and music venues but questioned the treatment of Sheffield Arena and Handsworth Junior Sporting Club's significant increase in business rates.

Asked if the budget will increase due to new money, leading to Barnett consequentials for devolved nations. The Minister confirmed that details would be set out as part of the usual process.

Thanked the Minister and other advocates, welcomed today’s announcement but called for more measures including lowering VAT for hospitality and alcohol duty.

Called on Labour to adopt the Conservative plan of scrapping business rates on high streets in response to struggles faced by them. The Minister dismissed this as unrealistic.

Asked if support for music venues extends to multi-use venues such as the City Varieties music hall in Leeds, and questioned whether studios are also included. The Minister invited him to check the guidance.

Expressed concern over hotels’ uncertainty despite rateable value review announcement; requested help for rural hotels struggling now. The Minister outlined a £2 billion package of support this year and £4 billion over three years.

Invited the Minister to discuss with him about heritage businesses facing viability issues post business rates revaluation. The Minister welcomed meeting opportunities.

Critiqued the U-turn as insufficient, delivering temporary relief without permanently lower bills for most hospitality firms. Suggested incompetence of Government in executing even these changes properly.

Asked the Minister to expedite high street strategy for Gloucester's vacant shops and suggested it could turbocharge regional growth; The Minister welcomed working with him on this issue.

Highlighted perceived unfairness in the announcement timing, citing a local retailer whose business rates have increased significantly while those of large stores decreased. The Minister defended the changes but acknowledged engagement with businesses on further support.

Welcomed support for pubs and music venues but expressed concern over local businesses facing double rates this year, suggesting a need to look again at wider support packages.

Requests the Minister to reassure the proprietor of the George Inn in Barton-upon-Humber regarding early relief or future reviews, noting that it is the last hotel in town.

Asks for reassurance on community sector needs and pubs going into community ownership. The Minister responds by confirming support will cover over 70% of independent and chain pubs, ensuring their bills are flat or falling.

Welcomes the statement but expresses concern about excluding hotels and restaurants. Inquires about Barnett consequentials for Northern Ireland.

Acknowledges engagement with the Minister on hospitality issues and seeks continued support for music venues like The Bootleg in Blackpool.

Critiques Labour’s policies, suggesting they have resulted in higher energy bills and taxes. Calls for broader business rate relief or abolition.

Raises concerns about York's independent businesses not receiving adequate support under the new measures, urging the Minister to review specific cases in detail.

Highlights the financial struggles of local pubs and asks for a timeline on hotel reviews. The Minister responds by confirming caps on rate increases for hotels based on their value.

Welcomes protections for small businesses but seeks assurances that the Government will continue to work with pubs and provide long-term certainty.

Requests assurance on timely communication of consequential funding to Welsh Government to support small businesses in Wales.

Acknowledges the 15% cap and expresses satisfaction with the contrast between current and previous government policies regarding pub closures. The Minister agrees, highlighting reforms aimed at reducing tax rates for high-street businesses compared to online giants.

Announces interventions including a 15% reduction in business rates bills for pubs, followed by a real-terms freeze for two years. Acknowledges the significant challenges faced by pubs and confirms a review of their rateable value methodology.

Welcomes additional support but raises concerns about the impact on specific local businesses like the Greyhound in Ipswich. Asks for an explanation behind the need to review the business rates process.

While welcoming the statement, questions why the Government is not providing similar support to other small businesses on the high street, which are struggling due to increased costs and online competition.

Welcomes measures for pubs in Burton and Uttoxeter but calls for further support such as draught relief. Also welcomes the high-street strategy announcement and asks how businesses can contribute to it.

Welcomes today's statement but suggests more needs to be done, citing specific examples of struggling pubs in South Cotswolds. Invites the Minister to discuss further support for these venues.

Welcomes measures for pubs and live music venues but asks for more details on the methodology used for determining business rates relief for music venues.

Raises concerns about Northern Ireland’s approach to revaluing business rates, which could result in significant increases for hotels. Calls for the UK Government to share learning and consider VAT rate reductions for hospitality.

Welcomes measures but calls on the Minister to keep music and cultural venues at the forefront of policy thinking, given their economic importance.

Asks for clarification on how the definition of a pub is determined, particularly in cases where similar businesses are operating in the same high street area.

Thanks the Minister for supporting pubs and calls out previous Conservative policies as problematic. Emphasises the need for ongoing support for legendary landlords across Britain.

Critiques the Government’s approach to business rates, suggesting it leaves businesses worse off despite the relief offered. Calls for a 5% cut in VAT for hospitality, which is declined by the Minister.

Highlights challenges faced by indoor play venues like The Beach Hut and calls on the Minister to meet with industry representatives to discuss potential support measures.

Welcomes support for pubs but asks what can be done for other struggling leisure businesses in her constituency, such as The Play Shed.

Praises the announcement and calls for ongoing engagement between MPs and the Government to ensure long-term support for hospitality businesses. Emphasises the need to put party politics aside in addressing these issues.

Welcomed the change in business rates for pubs but expressed concerns about hotels. Mentioned a family hotel expecting a £250,000 loss due to Government changes in the Budget. Requested a meeting with the Minister, Somerset MPs, and hoteliers to discuss how hotels can be helped through the reforms.