Proactive Investors - Hundreds of industry bosses have co-signed a letter calling on Labour Chancellor Rachel Reeves to commit to business rates relief for the hospitality sector.
Signed off by UKHospitality chief executive Kate Nicholls with support from bosses at Young’s, Stonegate, The Langham, Pizza Pilgrims, Pizza Hut, Holiday Inn and hundreds more, the letter warned that the upcoming Autumn Budget “is the last chance to prevent bills quadrupling for high streets across the country”.
The hospitality sector has benefitted from a 75% rates discount for the past three years, but that is set to expire in March 2025.
“As a bricks-and-mortar sector hospitality is at the core of our high streets and local communities nationwide It creates places where people want to live work and invest,” read the letter.
“But business rates penalise businesses based in higher cost central locations. In fact we pay three times more than we should based on economic activity levels – that is an overpayment of over £2 billion.
“To put it simply our tax system discourages people from running high street businesses at a time where we should be encouraging them.”
UKHospitality has been urging Reeves to address the “almost billion-pound tax bombshell” that will come from ending business rates relief since September.