Adam Goldsmith
Live reporter

Image source, The Times/PA

On the fourth day of his premiership Andy Burnham told pubs "the cavalry is coming" as he announced parts of the hospitality sector, including clubs and live music venues, would get a 20% cut in business rates from April.

Cafes and restaurants won't benefit, and nor will hospitality businesses in Scotland, leaving Conservative leader Kemi Badenoch to ask: "Is that it?"

For the average punter, the rates cut is unlikely to "move the dial" on the price of a pint, according to pub group the Fired Up Collective, which says the estimated savings of around £1,000 a year for pubs will be "negligible".

Despite this, stakeholders including the Night Time Industries Association say the tax break could provide "meaningful relief to businesses facing sustained cost pressures".

To fund the cuts - which are expected to cost the government coffers around £100m - the prime minister said he will conduct a review of tax reliefs for high street businesses including vape shops and gambling arcades which can "often bring real harm to communities".

Following up the announcement with a trip to the Hare Inn in Essex, where he pulled pints with Chancellor John Healey, Burnham declared himself the "defender" of pubs and acknowledged the cut "may not be everything that they’re looking for, but sometimes the small things matter as well".

We're closing our live coverage there, but for more on this you can read our news story.

How many pubs may be affected by the rate cut?published at 15:14 BST

15:14 BST

By Rob England

Pubs are one of the winners in Andy Burnham’s latest announcement on business rates relief.

The government says its new 20% cut will benefit nearly 32,000 trading pubs, social clubs and live-music venue in England from April 2027, although it has not published a figure for pubs alone.

But separate government data shows that the number of business premises classified as "pubs and wine bars” in England, which may be liable to be charged business rates, has fallen by about 2,700 since the Coronavirus pandemic to about 47,000. This may include some premises that aren’t trading.

Business rate support for pubs and other hospitality venues has been changeable in recent years. In 2021 a relief scheme was announced for retail, hospitality and leisure businesses, providing at first a 50% discount on business rates from April 2022. This later increased to 75%.

But between March 2025 and March 2026 the government reduced the discount from 75% to 40%.

The scheme was later discontinued and replaced by lower overall rates for the same sector from April this year. Pubs and some live-music venues will also receive a separate 15% reduction this financial year.

Sadaf Maruf
Your Voice news editor

John owns a small family run restaurant in near Looe in Cornwall and questions why establishments like his haven't been included in the cut to business rates.

While his venue qualifies for small business rate relief, he is paying business rates for the first time and has been forced to cut opening hours to reduce staffing costs and other bills.

"Why on earth are we not included in the 20% reduction? Restaurants and hotels need the support more than pubs," he tells the BBC.

He says the cost of produce had gone up drastically in the last year and items like beef have gone up by 20 %.

"All of hospitality has been bashed from all sides and is really struggling. I'm in my 70s and I'm still working because I have to - this cut is not really a pro-business move because it excludes so many others within hospitality," John says.

Jack Gray
BBC Newsbeat

Jack Brisbane tells BBC Newsbeat he’s often at bars, pubs and gigs with his mates in Sheffield.

The 20-year-old says “a lot of venues have had to shut down here - my favourite pub shut down as well”.

He feels the business rate cut is a “good step forward” as says losing these venues “takes away jobs and the city’s life".

“I think there should be a priority put on these social hubs over vape shops and businesses like that,” he adds.

Jo and Abbie agree.

“Vaping has been on the rise for the past five years and it’s probably better to take tax from them and put it into something that’ll help with socialising,” Abbie says.

“My dad owned a pub and they had had to close because of how expensive the costs were getting," Jo says.

By Sadaf Maruf, Your Voice news editor and Duncan Cook, BBC News Gloucestershire

David Moss runs five venues across Suffolk, but it used to be as many as nine just a few years ago.

He describes the relief announced today as "welcome but it's not enough".

Moss is calling for a cut in VAT in line with Europe, saying hospitality will "then thrive and people would spend more".

Meanwhile Shaun Tippins, who runs the Cheese Rollers pub in Shurdington, Gloucestershire, is in agreement about the need to tackle VAT.

"There is a lot of work still to do. We pay 20% on absolutely everything whether that’s food or wet product," he says, adding it's "a lot in comparison to our European counterparts".

Tippins says doing something on VAT will "really make the difference between just breaking even, survival and being marginally profitable".

Oliver Smith
Senior business producer

Image source, Getty Images

Andy Lennox runs the Fired Up Collective, a group of pubs and restaurants in Dorset.

He thinks Andy Burnham understands the challenges facing the industry, and needs to be given “the space he needs” to address them in the next Budget, but says today’s move isn’t a game changer.

"Rates need to be dealt with but it’s not the thing that’s going to save the industry," he says.

“Whilst rates being cut to where we were before is welcome, we’re not going to be celebrating it,” he adds.

Will today’s move allow pub owners to lower the cost of a meal or a pint?

“No, it’s not enough to move the dial on prices,” says Lennox. “The savings are around £1000 a pub. It’s negligible”.

Like others in the industry, Lennox wants a 10% VAT cut for hospitality. “Business rates is a drop in the ocean compared to what I’m paying in VAT,” he says.

The Institute for Fiscal Studies (IFS), a leading economic research group, questions the government's approach to the business rates system, accusing it of being a "complex, ever-changing mish-mash of policies".

Stuart Adam, a senior economist at the IFS, says business rates used to be "the most stable and simple taxes" but they have become more complicated over the years.

"We seem to be moving ever closer to a system in which the government gives every business a score out of ten each year according to how much it likes the business that year, and sets its tax rate that year accordingly," Adam adds.

He calls for "a coherent view" of what business rates are intended to achieve.

Can Lineker write a cheque to the Treasury?published at 14:09 BST

14:09 BST

By Anthony Reuben

Tory leader Kemi Badenoch was asked by journalists this morning for her response to Gary Lineker and other wealthy people writing to Andy Burnham asking to be taxed more.

Badenoch said Lineker is “very welcome to pay more tax” and that “he can write a cheque to the Treasury, no one’s stopping him".

She is mostly right in that anyone can choose to make donations to the public coffers, external, although one area Badenoch is mistaken is that any voluntary payment needs to be by bank transfer, rather than by cheque.

Of course the letter’s 120 signatories might well say that it’s legitimate to advocate for a change in tax policy on the wealthy without having to make a series of ad-hoc donations themselves.

But in case anyone does ever want to donate, there are two other things to consider:

• You also need to give the Treasury at least seven days notice if you plan to send the money
• You can’t specify what you want the cash to be spent on

Jack Gray
BBC Newsbeat

Restaurants, along with cafes, haven’t been included in the Prime Minister’s announcement today.

But Joanne, who works at a sushi restaurant in Sheffield, says venues like hers are also desperate for help.

“I would say they have to include small businesses like ours as well,” Joanne says. “It’s tough. Anything the government can do to help us, it would be great."

She says there are “constantly” places closing as they struggle with the amount of charges they face, such as tax for licenses, rent, alcohol and charges for putting tables and chairs outside.

Image source, PA Media

Wetherspoon founder and chairman Tim Martin has called the government's decision to cut business rates as "a small move in the right direction" while also calling for a reduction in VAT for pubs.

Martin says the pub chain is grateful for the recognition given to the hospitality business, saying that it is "over taxed".

He adds the "biggest disadvantage" for pubs is VAT, saying that supermarkets pay nothing on food sales while hospitality venues pay 20%.

The pub owner calls on Andy Burnham to support publican Tom Kerridge's campaign to cut hospitality VAT to 10%.

Earlier, pub owner Pauline Forster said a cut to VAT could help provide more relief to local music venues.

Andy Burnham has been pictured pouring pints and chatting with punters at the Hare Inn in Harlow, Essex, where he has pledged to be the "defender" of pubs on his fourth day as PM.

"The pubs that we’ve got are at the heart of high streets, and I think it’s really important to signal at the start of my time in office that I will be a defender for them," he says. “I will speak up for them and act.

"It’s all about doing, isn’t it? You know, I’m doing something today. It may not be everything that they’re looking for, but sometimes the small things matter as well.”

Image source, Reuters

Image source, PA Media

Image source, Reuters

Burnham has added gambling arcades to the businesses the government intends to target to pay for the rates relief announced this morning.

In its announcement this morning, the government said the 20% business-rate cut policy would be funded by a review of tax reliefs given to businesses "such as vape shops".

During his trip to a pub in Essex the PM has said the rates cut to pubs, clubs and music venues will be funded by slashing reliefs to such rates for gambling arcades on high streets, which he says can "often bring real harm to communities".

"It’s about developing a business rates regime where we really give incentives to support the businesses that bring benefits, and look differently at those that cause social harm, and that’s the change that we will bring through," he says.

Image source, Reuters

Prime Minister Andy Burnham says his plans to cut rates for pubs, clubs and music venues is a "first step" to help businesses.

Addressing reporters during a visit to a pub in Essex, the PM says pubs in particular "need to know that the cavalry is coming".

He recalls making the commitment to support pubs during the Makerfield by-election, adding that pubs are part of "our heritage" and "working class culture".

"Once pubs are gone, they don’t come back. So we’ve just got to signal what support when we can," Burnham says, adding, "that’s why I’ve made this early announcement".

“It could make the difference for a number of venues that are struggling, and it was right to confirm it quickly because, as I say, so much good happens bringing communities together."

Joe Coughlan
Live reporter

Image source, David Emery

Pub and music venue owner Pauline Forster says Andy Burnham's promise to cut business rates is "a really good first move".

Forster is the landlady the George Tavern in east London's Stepney Green, putting on shows from musical artists every night of the week.

She tells me the loss of music venues in recent years has been a "tragedy" and such spaces usually rely on bar takings, with overheads such as wages, electricity bills and business rates all making running them a "struggle".

She adds: "It's getting worse and worse so anything is going to be helpful."

The landlady says a cut to VAT could provide more relief for the businesses, but adds that the venue still appreciates today's initiative.

Image source, Getty Images

For the third morning in a row, Prime Minister Andy Burnham has announced cost-saving measures - this time to relieve pressure on the hospitality industry.

From April, pubs, clubs and live music venues will get a 20% cut in business rates. Here's what we've heard in response:

• Night Time Industries Association chief executive Michael Kill says the move could provide "meaningful relief to businesses facing sustained cost pressures"
• But for hotels and restaurants, who won't be helped by today's cuts, there's a frustration at being ignored by the government
• To fund the £100m cost of the cut, Burnham says he'll target businesses "that don't make a positive contribution to local communities" - highlighting vape shops in an eye-catching move, our business correspondent writes
• But as our business editor notes, some in the hospitality industry hopes the new PM might go further and promise cuts to VAT, too

• We've a roundup of how other political parties have responded, while Conservative leader Kemi Badenoch urged Burnham to rule out tax rises to pay for his "spending spree"

We'll continue to bring you industry reaction throughout the afternoon, and we're keen to hear how you'll be impacted too - all the information you need to get in touch is in an earlier post.

Image source, PA Media

The announced relief in business rates comes as a group of 120 UK millionaires has written a letter to Prime Minister Andy Burnham urging him to tax their wealth.

The "Proud to Pay" letter, external was sent by organisation Patriotic Millionaires UK and has been signed by figures including Gary Lineker, Julia Davies, Brian Eno, Ian Gregg, and Gary Stevenson.

The letter reads: "We want you to tax us. We can afford it. We’re not talking about higher taxes on those who get up and go to work for their income every day, but on the very richest whose income is derived from the wealth they hold."

Signatory Gary Lineker says that "our fantastic country deserves all of us to get behind it. I’m proud to stand with people across the UK who want to live in a more equal society."

Chief Secretary to the Treasury Emma Reynolds earlier told Sky News: "I welcome the fact that people of good means are saying that they want to pay more. They can pay more. There is a link on gov.uk., external

"But look, we have to look at tax policy in the round, and we only make major tax announcements at Budgets."

Ed Thomas
UK editor

The new PM wants to bring back hope to our High Streets. That’s easier said than done.

I’ve spent 18 months in towns and cities across the country witnessing organised crime flourishing in mini-marts and vape shops, and reported on illegal working, tax evasion and money laundering in plain sight.

Our team has exposed Kurdish crime networks stretching the length of the country, faced attacks and death threats, crimes in full view of the authorities.

No 10 says business rates cuts for pubs, clubs and live music venues could be funded by reviewing reliefs for businesses that "do not make a positive contribution to local communities, such as vape shops".

My experience suggests it won’t be straightforward. Our investigations uncovered ghost directors masking the real owners of shops selling illegal cigarettes.

Forensic accountants showed us how owners repeatedly change company details to avoid paying tax and unpaid bills.

Trading standards officers (TSOs) told us they had given up trying to identify the real owners. But change may be coming.

After our year-long reporting, the home secretary pledged stronger powers and new laws to close "dodgy shops" more quickly and for longer. The challenge is turning those promises into lasting change that people can see and feel in the places they call home.

Image source, PA Media

The government's initiative to cut business rates for pubs, music venues and clubs in England has been hailed as "fabulous news" by renowned British DJ Fatboy Slim.

The musician, whose real name is Norman Cook, tells Radio 5 Live: "I think that's very forward thinking of the government.

"It makes economic sense because our music business is worth a huge amount to the country and so protecting the lower levels is great."

Cook says he is hopeful that the government is protecting the music industry to preserve it as not only a big business, but also the way in which it connects people and helps make memories.

The DJ is among a number of artists to invest in the Music Venue Properties scheme, a campaign which acquires the freeholds of music venues to secure their futures.

Jamie McIvor
Scotland business reporter

Image source, Getty Images

The Scottish Licensed Trade Association (SLTA) - which represents pubs, bars, hotels and more - has urged the Scottish government to consider following the UK government and cut business rates on pubs in Scotland.

But chief executive Colin Wilkinson said other measures could also help the sector.

The SLTA has been campaigning for a VAT reduction - a move which would need to be made by the UK government and which would apply across Britain.

He says: "We would like to see the Scottish government supporting the trade in any way it can."

Wilkinson says there are a number of problems with the business rate system in Scotland which he would like to see addressed.

He also believes a VAT reduction could be a big help as it could encourage consumers to spend more and boost the industry.

• Our earlier post has more on the announcement not covering Scotland

Image source, Getty Images

Andy Burnham's latest announcement to cut business rates for pubs, clubs and live music venues in England by 20% from April has received a mixed response from the industry.

The CEO of the British Beer and Pub Association hailed the cut as a "sorely needed discount" for local pubs, while the founder of a soft drinks company and hotel owner Steve Perez said the move "won't make any material difference to any pub".

UK Hospitality and the Night Time Industries Association have both welcomed the scheme, but it doesn't go as far as many in hospitality wanted, as noted by our business editor Simon Jack.

Publicans have also cautiously welcomed the move, with chef Tom Kerridge saying it shows the government is "beginning to listen" and one Liverpool business owner calling for discretion in the way hospitality businesses are categorised.