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Pubs and Community Funding 2025-05-19

19 May 2025

Lead MP

Rebecca Paul

Debate Type

Adjournment Debate

Tags

EconomyTaxationEmployment
Other Contributors: 8

At a Glance

Rebecca Paul raised concerns about pubs and community funding 2025-05-19 in the House of Commons. A government minister responded. Other MPs also contributed.

How the Debate Unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said:

Lead Contributor

Opened the debate
I am grateful to have the time to debate Government community funding and support for local pubs. We are fortunate to have so many amazing pubs in Reigate, Redhill, Banstead and our villages, and they are far more than just a place to have a pint. They provide jobs, enrich daily life, and even support local producers. Sadly, we have lost many pubs due to increased costs and taxes, diminishing social cohesion and the local economy. Pubs contributed £34.4 billion to the UK economy in 2024 and paid over £17.4 billion in tax, despite tight margins. They face rising energy bills, inflation, employer national insurance contributions, and business rates.

Government Response

EconomyTaxationEmployment
Government Response
We recognise the vital role that pubs play in communities across the UK. In response to rising costs, we have announced a permanent reduction in business rates for retail and hospitality businesses from next year, helping those affected by higher bills and taxes. We are also introducing a new right-to-buy scheme for important community assets such as pubs, empowering local groups to save these valued buildings. To support the purchase of valuable community assets, we will reintroduce the Community Ownership Fund with over £135 million in funding available to 409 projects across the UK. This fund will provide much-needed financial assistance to help local groups acquire and maintain their cherished pubs. The Minister acknowledges the importance of community assets like pubs and highlights the government's efforts to support their preservation. He mentions the Community Ownership Fund which has awarded over £135 million to 409 projects since 2021, including funding for local pubs. Specific examples include the Rectory pub in Chesterfield and the Swan Pub project in Tonbridge receiving significant funds to secure community ownership and enhance community benefits. The Minister also discusses future plans such as the Community Ownership of Assets scheme and the £1.5 billion Plan for Neighbourhoods aiming to deliver up to £20 million funding over a decade for 75 communities. He invites the lead MP to discuss further support for the Garibaldi pub in Reigate, emphasising government commitment to community-led initiatives. The concerns raised by Members about the impact of rateable values on pubs are well-founded. The government recognises the vital role that pubs play in communities and acknowledges the financial pressures many face due to increasing rates. We have provided significant relief, with nearly half of all pubs benefiting from a £15,000 threshold under which they do not pay business rates. For this year, there is an additional 40% relief on top of the standard rateable value reduction. While I cannot pre-empt the Chancellor's upcoming Budget statement for autumn 2026, rest assured that our commitment to supporting community establishments remains steadfast. We continue to engage with stakeholders and will provide further updates in due course.
Assessment & feedback
Summary accuracy

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