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Cabinet Unease Grows Over Pub Business Rates Hike With Treasury Standing Firm

Keir Starmer has conceded the rates revaluation will leave many pubs struggling.

Overview

  • The Treasury says a £4.3bn package and transitional caps, including a 15% limit on next year’s increases, cut average protected bill rises to about 4% versus 45% without support.
  • Business Secretary Peter Kyle is preparing to take industry concerns to Treasury officials next week, according to owners who have met him.
  • Sky News reports ministers are unhappy with the policy and that businesses have been cautioned against public protests if they want concessions.
  • Industry data from Ryan shows 366 pubs in England and Wales were permanently lost in the 12 months to December 2025 through demolitions and conversions.
  • Owners warn headline averages mask steep jumps for individual sites, with chef Tom Kerridge citing near‑100% rises, while hundreds of pubs join campaigns banning Labour MPs.