August 20, 2026

UKHospitality calls for a sector-wide business rates solution after Burnham backs pubs

UKHospitality has stated that an “effective high street strategy needs to deliver a hospitality-wide solution” for business rates, following Andy Burnham’s announcement he would cut rates for the pub sector by 20 percent if elected PM.

UKHospitality has responded to Andy Burnham’s promise he would cut business rates for the pub sector by 20 percent if he becomes prime minister by stating that “effective high streets strategy requires a hospitality-wide business rates solution.”

The body acknowledged that pubs are undeniably a key part of the country’s cultural landscape, but highlighted the fact the entire UK hospitality sector is currently struggling under the combined burden of high rates, VAT, and operational costs.

“It’s right to recognise that high street hospitality businesses are the heart and soul of Britain and, crucially, that the system is broken and in need of reform,” said CEO Allen Simpson. “The challenges facing local businesses are universal and affect all types of venue, from pubs and restaurants to cafés and hotels.” 

“An effective high street strategy needs to deliver a hospitality-wide solution to deliver for all businesses, high streets, towns, cities and communities. To reverse the trend of closures and lost jobs into openings and new jobs, that strategy needs to include a plan for delivering lower business rates and a 10 percent rate of VAT for hospitality.”

Burnham is Labour’s candidate for the Makerfield by-election, and has openly stated his intention to challenge Keir Starmer if elected, with UKHospitality adding it will continue to work with the government to achieve its aims, regardless of leadership.

“We continue to have discussions with government about business rates bills for the next two years of this current cycle and continue to have positive conversations with all major parties about business rates across England, Scotland and Wales.” 


A strategy for business rates

Allen Simpson said… “An effective high street strategy needs to deliver a hospitality-wide solution to deliver for all businesses, high streets, towns, cities and communities. To reverse the trend of closures and lost jobs into openings and new jobs, that strategy needs to include a plan for delivering lower business rates and a 10 percent rate of VAT for hospitality…

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