Industry calls for urgent business rates action

Publicans and celebrity chefs, including Tom Kerridge, Tom Aikens, Monica Galetti and Jodie Kidd, have joined sector CEOs from more than 230 companies – such as Burger King, Travelodge, Marriott International, Fuller's, Greene King and Mitchells & Butlers – in signing an open letter to the chancellor ahead of this month's Autumn Statement. 

The letter, created by UKHospitality, calls for continued support as the hospitality industry faces a potential £1bn additional business rates bill next April, unless the chancellor freezes rates and extends the current relief package. 

The letter also calls for longer-term structural reform – of the apprenticeship levy, of VAT and a broader business rates overhaul – that would allow the sector to drive economic growth, help to curb inflation, increase social mobility and get more people into work. 

The letter states: "The most important step at this stage is to avoid an increase in business rates. The sector faces nearly a £1bn tax hike from April 2024. We urge you to freeze the business rates multiplier, extend the 75% hospitality relief and extend the cap to at least £2m. Business rates support can cushion the sector from these costs while allowing us to invest – in our people and our places."

UKHospitality chief executive Kate Nicholls comments: "It's imperative that the chancellor listens to our collective calls for support and takes clear action in the Autumn Statement to extend the current relief measures for a further year to protect the vital community assets that make up the UK's vibrant hospitality sector. Hospitality is at the heart of our communities and it's essential we do all we can to protect businesses in the sector and the value they bring, from driving economic growth to creating jobs."

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