Labour to announce pub business rates U-turn after industry outcry

Faced with industry outcry and pressure from its own MPs, the Labour government is preparing to reverse planned changes to business rates that disproportionately impact pubs and the hospitality sector. The revisions, expected to be announced soon, aim to address concerns about how business rates are calculated, following a revaluation of property values that significantly increased taxable values for pubs and restaurants. The changes are part of a broader Treasury package that includes measures to ease licensing, opening hours, and reduce red tape for pubs. The original plan, announced in November, ended Covid-era business rate discounts, leading to substantial rate increases for pubs and hotels compared to supermarkets and warehouses, beginning in April. The government's decision follows discussions with hospitality trade bodies and internal reviews, marking another U-turn on a contentious policy.

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