U-turn on pubs business rates much needed but the Government looks increasingly rudderless

Pubs have been right to sound the alarm and take the Government to task over planned business rates hikes.

The reality is that so many of these establishments were already barely clinging on. Yorkshire is acutely aware of the difficulties the industry faces with the region having one of the highest pub closure rates in the country.

Chancellor Rachel Reeves has confirmed pubs will receive “more temporary support” in a climbdown from a Budget decision that would have sent many more pubs over the edge.

The rise in rates is due to a combination of properties being revalued and the withdrawal of Covid-era discounts. However, the Chancellor said pubs will receive extra financial aid with an announcement due “in the next few days and weeks”.

A bar tender pours a beer in a pub. PIC: Kirsty O'Connor/PA Wireplaceholder image
A bar tender pours a beer in a pub. PIC: Kirsty O'Connor/PA Wire

The U-turn is much needed. Pubs are more than just watering holes and play a vital role in many communities. Many establishments have been going for decades if not centuries. Milestone events in many people’s lives take place in pubs - weddings, funerals, birthdays.

There is also the economic impact of jobs being lost as a result of pubs closing down. Often when a pub closes, it closes for good.

While a U-turn is the right thing to do, as it shows the Government has listened, this Labour administration is at risk of becoming a rudderless ship. It has already made 13 U-turns. As Health Secretary Wes Streeting said earlier this week, ministers should be looking to make the right decision the first time round. Heaping more pressure on already hard-pressed pubs was never the right decision.

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