Soon to be crowned Prime Minister Andy Burnham has pledged to reform business rates by increasing taxes on large distribution warehouses while reducing the burden on pubs, restaurants and other high street businesses.
Prime minister-in-waiting Andy Burnham has unveiled plans to overhaul Britain’s business rates system by introducing higher charges for large warehouses while cutting costs for pubs and other high street operators.
Speaking to Andrew Marr on LBC, Burnham said he remained committed to Labour’s 2024 manifesto pledge not to increase income tax, VAT or employees’ National Insurance contributions. However, he argued there was scope to reform business rates to better support bricks-and-mortar businesses.
Burnham proposed increasing rates on major logistics warehouses serving online retailers while delivering a 20 percent reduction for pubs and removing some high street businesses from the system altogether.
“I believe there is a case for higher business rates on warehouses and the major developments we see on the outskirts of our cities, so that we can cut business rates for pubs,” he said.
He added that government should “prioritise and reward the businesses that bring social benefit”, including bars, restaurants, coffee shops and hairdressers, arguing they play a vital role in sustaining town and city centres. What was missing from that brief list was leisure and entertainment offerings delivered by the amusements, gaming and gambling sector. Burnham has made his feelings very clear on that: his problem is that these are the businesses that invest six and seven figure sums on the high street and incorporate a wide range of local service businesses from the local community.
Burnham also said his generation of politicians had “failed” and pledged to govern by putting “place first, not party first” while focusing on long-term problem solving. Unfortunately, his actions since announcing his decision to ditch the city of Manchester in favour of a colluded by-election and a clear path to the leader of his party suggests he is every bit the model of party first…albeit his most ardent critics would argue it’s Burnham first.
Responding to the proposals, Conservative Shadow Chancellor Mel Stride said: “Britain needs to brace for yet another Labour tax bombshell from Andy Burnham.”
Burnham’s pub crawl
Andy Burnham said……. “I believe there is a case for higher business rates on warehouses and the major developments we see on the outskirts of our cities, so that we can cut business rates for pubs……
