Prime Minister Andy Burnham said this £100m initiative would save the typical pub £1,100 next year
The government has unveiled plans to slash the business rates bill of pubs, clubs and music venues by 20% – a move which it says will benefit nearly 32,000 businesses across England.
The measure is set to come into effect from next April.
The government said this £100m package will be fully funded by reviewing reliefs for businesses such as vape shops, which “do not make a positive contribution to local communities” – as well as through a “crack down on local businesses that sell through online marketplaces but do not comply with their tax obligations.”
The government said today’s rates relief plan is “just one step” in plans to “back our communities and high streets”.
The announcement of today’s package said the government would “return to our commitment to reform the wider business rates system, including small business rates relief, at the budget” later this year.
This business rates cut comes in addition to 15% reduction for pubs and live music venue announced by former chancellor Rachel Reeves in January.
Prime Minister Andy Burnham said: “For too long, governments have stood by while cherished venues have disappeared from our local high streets. So today I am changing that.
“This government will back the businesses that people want to see in their communities. I said I would protect pubs and local high streets – the beating heart of our communities – and that’s what we will do. What we’re announcing today is just the start as we work to bring back hope across the country.”
Chancellor of the Exchequer John Healey added: “Pubs, clubs and live music venues are at the heart of communities across the UK. They help make a place what we love. They bring people together, support local jobs and help keep high streets and town centres busy — which is why we will back them all the way.
“We are determined to bring hope back, give businesses the support they need and generate growth in every postcode.”