Context
The question stems from a visit Paula Barker made to the Masonic Arms pub in Lark Lane, Liverpool, where she observed that pubs bear an unusually high burden of business rates relative to their turnover. She notes the closure of 7,000 pubs under the previous government.
Question
While I am looking forward to the statement a little later from the Exchequer Secretary to the Treasury, I would like to push him, if I may. I recently visited one of my local pubs, the Masonic Arms on Lark Lane—which is a fantastic venue—and met Guy and Amelia. Currently, the overall sector picks up 2.8% of UK business rates nationally, but has only 0.5% of the turnover of UK businesses. This is clearly not a fair tax for pubs; it is the result of a uniquely skewed business rates system that actively penalises many pubs. What long-term steps can the Minister take to help pubs like the Masonic Arms and the wider hospitality sector?
Answer from The Chancellor of the Exchequer (Rachel Reeves)
As my hon. Friend knows, we have permanently reduced the multiplier for business rates for retail, hospitality and leisure, but my hon. Friend the Exchequer Secretary will set out the support for pubs in more detail later today. We are determined not only to support pubs, which are the lifeblood of so many communities, but also to support the whole of our retail, hospitality and leisure sector. We are putting more money in people’s pockets by cutting energy bills and train fares and getting people back to work, so that they have more money to spend on the things they love, not just on the essentials.
Not addressed: Did not provide specific long-term measures for alleviating business rates on pubs beyond mentioning a future statement from another minister.
How: Will Set Out Support Later, Not Providing Specifics Now
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