Commons Sense

House of Commons · Ministers' Questions

Hospitality Businesses

Thursday 12 December 2024 · 3 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 0 Partly answered 3 Not answered 0

Key points

  • Ministerial commitment to creating a fairer business rates system for hospitality businesses.
  • Chancellor committed to a 20p reduction to the small business rate multiplier for hospitality businesses from 2026-27.
  • Budget increased employment allowance to 10,500, meaning more than a million small businesses will see no increase in national insurance liability.

Topics (select to filter)

Questions & Answers

Q1 John Whittingdale Con Maldon
Business & Trade
Context

The MP is concerned about supporting local businesses in his constituency that are part of the hospitality industry.

Question

What steps he is taking to support the hospitality sector. Businesses in Maldon rely on government measures to thrive and contribute to economic growth.

Answer from Gareth Thomas

Hospitality businesses are at the heart of our communities and vital for economic growth. The Government are creating a fairer business rates system, reducing alcohol duty on qualifying draught products and reforming the apprenticeship levy to support businesses and boost opportunities.

Partly answered

Not addressed: The answer did not provide specific steps or timelines but acknowledged the importance of hospitality businesses.

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Q2 Rebecca Paul Con Reigate
Economy Business & Trade
Context

The MP mentions specific local pubs in her constituency that need reform of the business rates system to ensure their long-term sustainability.

Question

For those businesses to thrive, reform of the unfair business rates system by 2026 is critical. Will the Minister commit to the proposed 20p reduction to the small business rate multiplier?

Answer from Gareth Thomas

The Chancellor of the Exchequer committed in the recent Budget to a series of reforms to business rates, including permanently lower business rates for hospitality businesses from 2026-27. I welcome the hon. Lady's support for that measure.

Partly answered

Not addressed: The answer did not commit to the specific 20p reduction proposed by the MP but acknowledged the Chancellor's commitment in the Budget.

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Q3 John Whittingdale Con Maldon
Taxation Employment
Context

The MP mentions a UKHospitality estimate that the Budget measures will increase employee costs by £2,500 and could lead to higher prices or fewer jobs.

Question

Will the Minister at least consider delaying the implementation of the national insurance contribution increase to 2026-27?

Answer from Gareth Thomas

I am sure that the right hon. Gentleman will have noticed that in the Budget, the Chancellor more than doubled the employment allowance to £10,500. That will mean that more than a million small businesses, many of them hospitality businesses, will see no increase in their national insurance liabilities next year.

Partly answered

Not addressed: The answer did not address the request for delaying the implementation but provided information on an employment allowance increase to mitigate costs.

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