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Ministers Consider Pub Bailouts as Backbench Pressure Mounts Over Rates Hikes

Ministers are weighing targeted help following Labour warnings that revaluation-driven bills could force closures.

Overview

  • Government sources say financial support for the most-affected pubs will be examined as April’s revaluation takes effect alongside the end of Covid-era relief.
  • Treasury officials maintain there will be no change to the rates policy and cite a £4.3bn package that they say limits next year’s overall bill increase to about 4%.
  • Keir Starmer has acknowledged hospitality will struggle and is exploring licensing freedoms, while the Treasury signals any further measures would be non-fiscal.
  • More than 30 Labour MPs have urged Chancellor Rachel Reeves to act, with some considering amendments to next week’s finance bill as ministers meet industry groups in a reported “listening mode.”
  • Trade bodies warn many venues face steep rises, with UK Hospitality projecting a 76% increase for pubs over three years and operators citing six‑figure bills, after 366 pubs were lost in the past year.