Pubs cheer business rates relief while other firms 'left out in the cold'

An important development from the financial markets: Pubs cheer business rates relief while other firms 'left out in the cold'Image source, Keith BottImage caption, Keith Bott, right, welcomed the government's business rates reliefByArchie MitchellBusiness reporterPublished3 minutes agoAndy Burnham's decision to cut business rates for pubs, social clubs and live music venues raised a cheer among industry bosses. It was his third big policy announcement in three days, and as industry body UK Hospitality put it, it showed his enthusiasm for the sector "survived his trip down the M1". Tax experts said the 20% discount, which comes on top of emergency business rates relief rolled out in January, would save the average pub more than £1,000.

But other High Street businesses complained they would miss out on the support and called for the package to be extended. 'Good start, but tax system needs to be fairer for pubs'Keith Bott, who runs the Titanic Brewery and nine pubs across the Midlands, said the government was "finally recognising the plight of the hospitality industry and trying to help". He said pubs had been hit by a mix of employer National Insurance increases, the rising minimum wage, high inflation and the climbing cost of living.

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Meanwhile, the sector is "heavily taxed", with around 35-40% of turnover going to the Treasury, he added. "What I really liked in this announcement is they are recognising we need to look at a fairer tax system so we can all contribute to society," Bott told the . He said online retailers that operate out of warehouses pay a "ridiculously low" amount of business rates in comparison, and "we need to make the system fair".

And Bott urged the government to go further in supporting the industry, cutting the duty on draft beer to target drinks sold in pubs. 'Why is our business being overlooked? 'Image source, HD3 Fitness CentreMissing out on support in Burnham's plans is Ruth Dawson's HD3 Fitness Centre in Huddersfield.

The local gym "does exactly the kind of work the government says it wants to support", she told the , but has been "left out in the cold". Dawson said her firm faces a "damaging" business rates bill, which is "one of the biggest threats to our ability to keep operating". "If a pub can get support because it is the 'heart of the community', then so should we," she added.

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"A community gym that keeps elderly residents mobile, active and connected is every bit as vital to a High Street as a pub or a club - arguably more so, given the pressure on the NHS and social care from an ageing population. "She urged the government to rethink the plans, extending support to community leisure centres and fitness facilities. 'I am not sure where this leaves me'Image source, Nick SmithNick Smith, who runs the Ludoquist board game cafe and bar in Croydon, London, said Burnham's announcement was reminiscent of "the trauma of Covid days".

"Where the government makes an announcement and you have to spend days trawling websites to try to find out what they mean," he told the .

Financial markets are tracking the development closely as investors assess the likely impact.