Prime Minister Andy Burnham has revealed a 20% reduction in business rates for pubs, clubs, and live music venues across England starting this April. The government projects this measure will save businesses approximately £1,100 next year, impacting nearly 32,000 establishments. Burnham stated that the initiative aims to protect local venues that have been vanishing from high streets.
To fund the £100m cost, the government will review tax reliefs for businesses such as vape shops, which officials argue do not provide sufficient community value. Furthermore, a crackdown is planned on online marketplace sellers who fail to meet tax obligations. While Chancellor John Healey is expected to provide specific eligibility details in the autumn Budget, the discount will not extend to the largest live music venues.
Hospitality industry reactions have been mixed. Industry bodies like UK Hospitality described the move as a positive start, though some business owners, including Iain Hoskins of Ma Pub Group, noted that while helpful, it may not fully mitigate the heavy cost increases faced recently. Conservative leader Kemi Badenoch criticized the plan, suggesting that Burnham’s overall economic ambitions for the nation are insufficient. The policy follows previous government efforts to address business rates, including a 15% cut implemented earlier in 2026.